please use the DDB method  A firm is trying to decide whether to keep an item of construction equipment for another year. The firm has been using DDB for book purposes, and this is the fourth year of ownership of the equipment, which cost $125,000 new. The useful life of the asset was eight years. What was the depreciation in year 3?

Q: Use MACRS to compute the depreciation schedule for office furniture purchased for $80,000 (use the 7…

A: The correct answer is given in the second step .

Q: MalMax purchased a depreciable asset. What would be the difference in total assets at the end of the…

A: Depreciation is the decrease in value of any asset due to normal wear and tear.  Straight line…

Q: A crane rental company has acquired a new heavy-duty crane for $280,000. The company calculates…

A: here we calculate the depreciation rate per rental so the calculation of the following as follow-

Q: Given:  Desk purchased January 10 for $3,000; 8-year useful life; $600 salvage value.  Calculate…

A: Given  Purchasing price or basis (B) =$3000 Useful life =8 year Salvage value =$600 Depreciation…

Q: A piece of equipment costs $53,000. Its estimated salvage value after eight years is $13,000. A.…

A: Given: Cost of equipment=$53000 Salvage value=$13000 Life=8 years

Q: A manufacturer of aerospace products purchased three flexible assembly cells for $500,000 each.…

A: Hello, thank you for the question. Since there are multiple sub-part questions asked here, only the…

Q: Your company bought a new machine for $39,000. The machine falls into the 7 - year MACRS category:…

A: MACRS (Modified Accelerated Cost Recovery System): MACRS is a depreciation method used for tax…

Q: 12. A video-recording system was purchased 3 years ago at a cost of $39,000. A 5-year recovery…

A: The double declining balance method (DDB) describes an approach to accounting for the depreciation…

Q: 2. An asset is purchased for $500,000. The salvage value in 25 years is $100,000 and the Straight…

A: Value of an asset=$500,000Salvage value in 25 years=$100,000Thus,Value depreciated in 25…

Q: A company purchased new mining equipment in year 2018 by paying $400,000 cash. The company plans to…

A: 1. Depreciation for Year  Original cost of the equipment: $400,000MACRS-GDS depreciation rate for…

Q: An oil refinery has decided to purchase some new drilling equipment for $570,000. The equipment will…

A: Equipment cost = 570000 Time = 13 years Salvage value = 16000

Q: Del Norte Brick Co. is located near the intersection of Texas, New Mexico, and Mexico. Improved…

A: The cost of the asset is evenly distributed over its useful life through depreciation. Depreciation…

Q: NPV, IRR, MIRR

A: Capital Budgeting refers to the process of allocating the planned capital expenditure to various…

Q: An automated assembly line is purchased for $1,250,000. The company has decided to use the…

A: The depreciation charge using the unit of production method is calculated by…

Q: condensing unit was bought at 50,000 having a useful life of 5 years and a salvage value of 10,000,…

A: Straight line premise is a technique for computing depreciation and amortization, the most common…

Q: An asset purchased for $50,000 has a depreciable life of five years, and it has a terminal book…

A: Depreciation refers to fall/decrease in the value of an asset. There are various methods of…

Q: what will be the value of the net domestic product at the factor cost if the gross domestic product…

A: Generally in the given question Value of the gross domestic product at the factor cost is = $7766…

Q: An asset has an expected life of 15 years, but is to be depreciated using a MACRS 7-year property…

A: The cost basis of a property is the original purchase price plus any additional costs associated…

Q: A lumber company purchases and installs a wood chipper for $205,731. The chipper has a useful life…

A: Depreciation can be understood in two main ways:1. Actual decrease in value:Depreciation refers to…