A wood products company has decided to purchase new logging equipment for $100,000 with a trade-in of its old equipment. The old equipment has a BV of $10,000 at the time of the trade-in. The new equipment will be kept for 10 years before being sold. Its estimated SV at the time is expected to be $5,000. Use this information to solve Problems 7-68 through 7-72 7-68. The recovery period of the asset, using the GDS guidelines, is (b) 7 years (c) 5 years (a) 10 years (d) 3 years 7-69. Using the SL method, the depreciation on the equipment over its depreciable life period is (b) $9,500 (c) $8,000 (a) $10,500 (d) $7,000 7-70. Using the SL method, the BV at the end of the depreciable life is (a) $11,811 (b)$10,000 (c) $5,000 (d) $0 7-71. Using the MACRS (GDS recovery period), the depreciation charge permissible at year 6 is equal to (a) $9,812 (b) $6,336 (c) $4,912 (d) s0