A video recording system was purchased 3 years ago at a cost of $30,000. A 5-year recovery

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A video recording system was purchased 3 years ago at a cost of $30,000. A 5-year recovery period and MACRS depreciation have been used to write off the basis. The system is to be prematurely replaced with a trade-in value of $5000. Determine the MACRS depreciation, using the switching rules to find the difference between the book value and the trade-in value after 3 years.


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Engineering economy

ISBN: 978-0073376301

7th Edition

Authors: Leland Blank, Anthony Tarquin

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