On April 1, 2015, Cyclone 's Backhoe Co purchases a trencher for $280,000 The machine is expected to last five years and have a salvage value of $40,000 Compute depreciation expense for both 2015 and 2016 assuming the company uses the double declining balance method ...

Doubledecliningbalance depreciation for 2015 and 2016 Rate 100 5 years x 2 40 De ...

On April 1, 2015, Cyclone's Backhoe Co. purchases a trencher for $280,000. The machine is expected to

Question:

On April 1, 2015, Cyclone's Backhoe Co. purchases a trencher for $280,000. The machine is expected to last five years and have a of $40,000. Compute depreciation expense for both 2015 and 2016 assuming the company uses the double-declining-balance method?
Salvage Value
Salvage value is the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life. As such, an asset’s estimated salvage value is an important...