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Building is 350,000, Equipment is 262,500, Truck, 87,500 and cash is 700,000 The equipment has a salvage value of $10,000, life expectancy of 5 years.

Building is 350,000, Equipment is 262,500, Truck, 87,500 and cash is 700,000

The equipment has a salvage value of $10,000, life
expectancy of 5 years. Calculate depeciation for
all years necessary using the double declining balace.
What is the book value at the beginning of year 6?
Depreciation Book-Value
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
It is planned that the delivery truck will be driven
200,000miles during its life time of 5 years. Mileage
is as follows:
Year 1: 65,000 miles, Year 2: 79,500 miles, Year 3: 45,325
Year 4: 9,690 miles, Year 5: 8,650 miles.
Calculate depreciation and book value.
Depreciation Book-Value
Year 1
Year 2
Year 3
Year 4
Year 5

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