### Depreciation Schedule for a Printing PressA printing press that costs $285,900 is depreciated using the 1.5 declining-balance method. The scrap value of the press is estimated to be $3,000, and the press has an expected life of 20 years. Prepare the first year of a depreciation schedule.#### Complete the Table:| Year | Annual Depreciation | Accumulated Depreciation | End-of-Year Book Value ||------|---------------------|--------------------------|------------------------|| 1 | $[___] | $[___] | $[___] |*Note: Round to the nearest cent as needed.*In this task, you'll calculate the figures for the first year of the depreciation using the data given. The table will help illustrate how the book value of the asset declines over time based on the depreciation rate and method applied.

Under declining depreciation method, accelerated depreciation rate = straight line depreciation rate * specific % = (1/number of life) * 1.5 So, accelerated depreciation rate= (1/20)*1.5 = 0.075Year 1, total cost = $285,900 Annual Depreciation= $285,900* 0.075 = $21,442.50 Accumulated depreciation = $21,442.50 (since it's year 1, so accumulated depreciation will be same as of depreciation for the year) End-of-year book value = $285,900 - $21,442.50 = $264,457.50 [Note: Highlighted figures are the answers to be filled in the table]

Answered: A printing press that costs $285,900 is…

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

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