Question
At the beginning of the year, Central Connecticut bought a new digital, photographic telescope for the Copernican Observatory at a cost of $250,000. Transportation and
At the beginning of the year, Central Connecticut bought a new digital, photographic telescope for the Copernican Observatory at a cost of $250,000. Transportation and installation costs to get the telescope delivered and functioning in the observatory amounted to $30,000. The equipments estimated useful life is 4 years and the salvage value is $20,000.
a.)Double Declining Balance Method
Using the Double Declining Balance Method, calculate the depreciation expense and book value of the telescope that would be recorded at the end of each of the 4 years of its useful life.
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