It cost k depreciation life CRS property class age value A $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 SO h of the depreciation schedules uses the straight-line depreciation method? B $22.857 $16,327 $11.661 $5,154 $80,000 7 years 7 years $24,000 So SO SO $0 с SI1,429 $19,592 $13.994 $9,996 $7,140 $7,140 $7,140 $3,570 D $22.857 $16.327 $11,661 $8,330 $6,942 $6,942 $6,942 $0
It cost k depreciation life CRS property class age value A $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 SO h of the depreciation schedules uses the straight-line depreciation method? B $22.857 $16,327 $11.661 $5,154 $80,000 7 years 7 years $24,000 So SO SO $0 с SI1,429 $19,592 $13.994 $9,996 $7,140 $7,140 $7,140 $3,570 D $22.857 $16.327 $11,661 $8,330 $6,942 $6,942 $6,942 $0
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Problem 2.a: Consider the data in the following tables:
First cost
Book depreciation life
MACRS property class
Salvage value
n
A
$8,000
$8,000
$8,000
$8,000
$8,000
$8,000
$8,000
SO
Which of the depreciation schedules uses the straight-line depreciation method?
1234567
8
A
D
C
Question 6
A
OD
B
$22,857
$16,327
$11,661
$5,154
B
$80,000
7 years
7 years
$24,000
$0
$0
$0
$0
с
$11,429
$19,592
Problem 2.b: Which of the depreciation schedules uses double-declining balance
with conversion to straight-line depreciation, assuming a zero salvage value?
$13,994
$9,996
$7,140
$7,140
$7,140
$3,570
D
$22.857
$16,327
$11,661
$8,330
$6,942
$6,942
$6,942
SO
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