Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset's life. Click here to access the MACRS-GDS Table Calculator
Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset's life. Click here to access the MACRS-GDS Table Calculator
Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset's life. Click here to access the MACRS-GDS Table Calculator
A surface mount PCB placement/soldering line is to be installed for $1,800,000. It will have a salvage value of $90,000 after 5 years. Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset’s life.
Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset’s life using declining balance depreciation using double declining balance switching to straight line depreciation.
Transcribed Image Text:A surface mount PCB placement/soldering line is to be installed for $1,800,000. It will have a salvage value of $90,000 after 5 years.
Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset's life.
Click here to access the MACRS-GDS Table Calculator
Part a
Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset's life using
declining balance depreciation using double declining balance switching to straight line depreciation.
EOY
0
1
2
3.
4
Your answer is partially correct.
5
Sum depreciation
Depreciation
360,000
337,500
337,500
337,500
337,500
1,710,000
Balance
1,800,000
1,440,000
1,102,500
765,000
427,500
90,000
Definition Video Definition Accounting method wherein the cost of a tangible asset is spread over the asset's useful life. Depreciation usually denotes how much of the asset's value has been used up and is usually considered an operating expense. Depreciation occurs through normal wear and tear, obsolescence, accidents, etc. Video
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