A bottle-capping machine costs $100,000, has an estimated life of 10 years, and has a scrap value of $20,000. Use the straight-line method to find (a) the annual rate of depreciation, (b) the annual amount of depreciutie the book value at the end of first year. (a) The annual rate of depreciation is % (Type a whole number or decimal rounded to the nearest tenth as needed.) (b) The annual amount of depreciation is $ (Type a whole number or decimal rounded to the nearest tenth as needed) (c) The book value at the end of the first year is $ (Type a whole number or decimal rounded to the nearest tenth as needed.)

A bottle-capping machine costs $100,000, has an estimated life of 10 years, and has a scrap value of $20,000. Use the straight-line method to find (a) the annual rate of depreciation, (b) the annual amount of depreciutie the book value at the end of first year. (a) The annual rate of depreciation is % (Type a whole number or decimal rounded to the nearest tenth as needed.) (b) The annual amount of depreciation is $ (Type a whole number or decimal rounded to the nearest tenth as needed) (c) The book value at the end of the first year is $ (Type a whole number or decimal rounded to the nearest tenth as needed.)

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Description: A bottle-capping machine costs 5100,000, has an estimated life of 10 years, and has a scrap value of $20,000 Use the straight-line method to find (a) the annual rate of depreciation, (b) the annual amount of depreciufion, athe book value at the end

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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An equipment costing 50,000 has a book value of 4,000 after 8yrs. The depreciation is computed by using the constant percentage of the declining book value. Compute for the salvage value after 12 years.
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