Q7.Alyoum Newspaper purchased LG printing machine for 100,000. Installation of the machine costs 8,000. The machine is expected to be used for 10 years at end of which the salvage value is expected to be 10,000. DDB method is used. What is the book value at end of year 3? 55,296 51,200 64,000 None of the other answers
Q7.Alyoum Newspaper purchased LG printing machine for 100,000. Installation of the machine costs 8,000. The machine is expected to be used for 10 years at end of which the salvage value is expected to be 10,000. DDB method is used. What is the book value at end of year 3?
- 55,296
- 51,200
- 64,000
- None of the other answers
Q8.Given an asset that has a cost basis of $300,000 and was sold for $350,000. The book value for the asset at the time of sale was $150,000. Assume that the
- $300,000
- $310,000
- $270,000
- None of the other answers
Q9.Consider a 5-year MACRS asset, which was purchased at $140,000. The asset was disposed of at end of year 5 with a salvage value of $50,000. What is amount of gain(or loss) when asset is disposed of ?
- $33,872
- $11,280
- $17,744
- $16,128
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