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6. A new machine costs $160,000, has a useful life of 8 years, and can be sold for $15,000 at the end of its
6. A new machine costs $160,000, has a useful life of 8 years, and can be sold for $15,000 at the end of its useful life. It is expected that $5,000 will be spent to dismantle and remove the machine at the end of its useful life. Develop a table showing the machine's deprecation schedule using (a) straight line deprecation method (b) sum of year's digits deprecation method (c) declining balance method (d) MACRS depreciation, assuming it is a 5-year property class
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Corporate Finance A Focused Approach
Authors: Michael C. Ehrhardt, Eugene F. Brigham
4th Edition
1439078084, 978-1439078082
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