A piece of equipment has a first cost of $300,000. The company expects to be able to sell it in 9 years for $20,000. What is the book value of the equipment at the end of year 2? MACRS Table (numbers are per cents), n = recovery period Yearn 3 n=5 n= 7 n=10 1 33.33 44.45 14.81 741 3 4 5 6 Z 8 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 8.93 4.46 10.00 18.00 14.40 11.52 9.22 7.37 6.55 6.55

A piece of equipment has a first cost of $300,000. The company expects to be able to sell it in 9 years for $20,000. What is the book value of the equipment at the end of year 2? MACRS Table (numbers are per cents), n = recovery period Yearn 3 n=5 n= 7 n=10 1 33.33 44.45 14.81 741 3 4 5 6 Z 8 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 8.93 4.46 10.00 18.00 14.40 11.52 9.22 7.37 6.55 6.55

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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