Question
As stated in its recent annual report, Sysco Corporation . . . is the largest global distributor of food and related products primarily to the
As stated in its recent annual report, "Sysco Corporation . . . is the largest global distributor of food and related products primarily to the foodservice or food-away-from-home industry. We provide products and related services to over 625,000 customer locations, including restaurants, healthcare and educational facilities, lodging establishments and other foodservice customers. A note in a recent annual report for Sysco contained the following information:
(in thousands) | Current Year |
---|---|
Land | $ 493,694 |
Buildings and improvements | 4,854,307 |
Fleet and equipment | 3,561,500 |
Computer hardware and software | 1,258,980 |
10,168,481 | |
Accumulated depreciation | (5,709,914) |
$ 4,458,567 |
Source: Sysco Corporation
Depreciation expense (in thousands of dollars) charged to operations was $705,200 in the current year. Depreciation generally is computed using the straight-line method for financial reporting purposes.
Required:
- What is your best estimate of the average expected life for Sysco's depreciable assets?
- What is your best estimate of the average age of Sysco's depreciable assets?
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