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An asset was purchased for $66,000 and originally estimated to have a useful life of 10 years with a residual value of $4,300. After two
An asset was purchased for $66,000 and originally estimated to have a useful life of 10 years with a residual value of $4,300. After two years of straight-line depreciation, it was determined that the remaining useful life of the asset was only 2 years with a residual value of $1,720.
a. Determine the amount of the annual depreciation for the first two years. $
b. Determine the book value at the end of Year 2. $
c. Determine the depreciation expense for each of the remaining years after revision. $
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