6. Calculate the salvage value and depreciation rate of the van. To calculate the salvage value and depreciation rate of the van, we need to determine the initial cost of the van and its useful life. The initial cost of the van is RM 110,000, and it is expected to be useful for another 9 years with an annual depreciation of RM 10,000. Salvage Value: The salvage value is the estimated residual value of the asset at the end its useful life. In this case, the van is expected to be useful for 9 years, so we'll assume it has no salvage value at the end of its useful life. Depreciation Rate: The depreciation rate is the percentage of the initial cost that is depreciated each year. We can calculate it using the formula: Depreciation Rate = Annual Depreciation / Initial Cost Annual Depreciation = RM 10,000 Initial Cost = RM 110,000 Depreciation Rate =10,000/110,000=0.09 (rounded to four decimal places) Therefore, the salvage value of the van is RM 20,000 and the depreciation rate is approximately 0.09%