Question: An engineer with Accenture Middle East BV in Dubai was asked by her client to help him understand the difference between 150% DB and DDB

An engineer with Accenture Middle East BV in Dubai was asked by her client to help him understand the difference between 150% DB and DDB depreciation.

Answer these questions if B = $180,000, n = 12 years, and S = $30,000.

(a) What are the book values after 12 years for both methods?

(b) How do the estimated salvage and these book values compare in value after 12 years?

(c) Which of the two methods, when calculated correctly considering S = $30,000, writes off more of the first cost over 12 years?


Step by Step Solution

3.23 Rating (161 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

a DDB d 212 0167 BV 12 B1d 12 18000010167 12 20092 150 DB d 1512 01... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

217-B-E-M (1658).docx

120 KBs Word File

Students Have Also Explored These Related Economics Questions!