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Acme manufacturing purchased a new piece of equipment, on July 1 st , for 400,000. Additional cost were, $15,000 delivery, $18,000 installation, $7,000 taxes. It
Acme manufacturing purchased a new piece of equipment, on July 1st, for 400,000. Additional cost were, $15,000 delivery, $18,000 installation, $7,000 taxes. It is anticipated this equipment will last 15 years and have a salvage value of $35,000. What would be the depreciation expense for this machine for the first and second year using the Straight Line method?
Using the previous example calculate the first and second year depreciation using the Sum of the Years Digits method and the Double Declining Balance?
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