Problem: XYZ Company purchased a new machine on January 1, 2002 for $80,000. The machine was assigned a 5-year life and a $12,000 residual value. Calculate the amount of depreciation expense recorded on the machine in 2005 assuming the company uses the double declining balance depreciation method.
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XYZ Company purchased a new machine on January 1, 2002 for $80,000. The machine was assigned a 5-year life and a $12,000 residual value.
Calculate the amount of depreciation expense recorded on the machine in 2005 assuming the company uses the double declining balance depreciation method.
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