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Banker Gear, Inc. is a manufacturer of high-end loafer dress shoes (deal sleds) that they market to Investment Bankers. Suppose you want to calculate the

Banker Gear, Inc. is a manufacturer of high-end loafer dress shoes (deal sleds) that they market to Investment Bankers. Suppose you want to calculate the Depreciation Expense for year 2 for Banker Gear if they used a Diminishing Balance Method of deprecation. You have the following information.

Equipment cost (Current Net Book Value): 100,000

Estimated Residual Value: 10,000

Useful Life: 10 years

Acceleration Factor: 1.5x

What is the year 2 depreciation expense?

Group of answer choices

a. 9,000

b. 85,000

c. 12,750

d. 15,000

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