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Assume that the company bought a piece of equipment on January 1 for $120,000, has an estimated residual value of $10,000, and an estimated useful
Assume that the company bought a piece of equipment on January 1 for $120,000, has an estimated residual value of $10,000, and an estimated useful life of 5 years. What is the amount of depreciation for the first year of use using the straight-line method of computing depreciation? (Answer $22,000) Please show the steps of how they got this answer.
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