Use the sum-of-the-years'-digits depreciation method to make a depreciation schedule (first two years) for a forklift that cost $28,000, has an expected useful life of ten years, and has a residual value of $2,600. Complete the following table for two years. Enter the depreciation rate as a fraction. Enter annual depreciation, accumulated depreciation, and end-of-year book value as decimals rounded to the nearest cent. Year 1 Depreciation Annual Accumulated rate depreciation depreciation End-of-year book value $

Use the sum-of-the-years'-digits depreciation method to make a depreciation schedule (first two years) for a forklift that cost $28,000, has an expected useful life of ten years, and has a residual value of $2,600. Complete the following table for two years. Enter the depreciation rate as a fraction. Enter annual depreciation, accumulated depreciation, and end-of-year book value as decimals rounded to the nearest cent. Year 1 Depreciation Annual Accumulated rate depreciation depreciation End-of-year book value $

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

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Use the sum-of-the-years'-digits depreciation method to make a depreciation schedule (first two years) for a forklift that cost $28,000, has an
expected useful life of ten years, and has a residual value of $2,600.
Complete the following table for two years. Enter the depreciation rate as a fraction. Enter annual depreciation, accumulated depreciation, and
end-of-year book value as decimals rounded to the nearest cent.
Year
1
Depreciation
rate
Annual
depreciation
Accumulated
depreciation
End-of-year
book value
$

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