1. Muddy Meadows Earthmoving can purchase a bulldozer for $8,000. After 7 years of use, the bulldozer should have a salvage value of $1,500. What depreciation is allowed for this asset in

5 years for?

Straight Line Depreciation

Sum of the Years Digits (SOYD) Depreciation

150% Declining Balance Depreciation?

2. A used drill press cost $55,000 and delivery and installation charges add $5,000. The salvage value after 8 years is $15,000. Compute the accumulated depreciation through year 4 using:

Straight Line Depreciation

(SOYD)

DDB