Book Value of Fixed Assets Cannington, Inc., designs, manufactures, and markets personal computers and related software. The following information was taken from a recent annual report of Cannington industries: Property, Plant, and Equipment (in millions): Current Year Land and buildings $613,820 Machinery, equipment, and internal-use software 583,129 Other fixed assets related to leases 742,722 Accumulated depreciation and amortization. (779,551) a. Compute the book value of the fixed assets for the current year and the preceding year. Preceding Year $356,016 460,365 558,576 (650,649) Current year book value 1,939,671 X 1,374,957 X Preceding year book value A comparison of the book values of the current and preceding years indicates that they decreased X. A comparison of the total cost and accumulated depreciation reveals that Cannington purchased $ X million of additional fixed assets, which was offset by the x million taken during the current year. additional depreciation expense of $ b. Would you normally expect the book value of fixed assets to increase or decrease during the year? X