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A major purchase is made of 300,000. The planning horizon is 10 years. The salvage value is 30,000. 4. (a) Depreciate this purchase using straight

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A major purchase is made of 300,000. The planning horizon is 10 years. The salvage value is 30,000. 4. (a) Depreciate this purchase using straight line depreciation. Show the yearly depreciation and the book value for each year. In the interests of time show only the first 6 years (b) Do the same for double depreciation (c) Finally, show the same calculation using a rate such that the book value is equal to the salvage value at the end of the planning horizon. Again show only the first six years (in the interests of time)

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