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A machine costing RM 2 7 , 0 0 0 has a life expectancy of five years and a salvage value of RM 7 ,

A machine costing RM27,000 has a life expectancy of five years and a salvage value of RM7,000. Using the declining balance method, compute:
(a) the annual depreciation rate
(b) the book value at the end of three years.

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