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Company Name Initial Cost ($) Salvage Value ($) Useful Life (years) Annual Depreciation Expense ($) BlueSky Enterprises $1,200,000 $100,000 10 ? RealEstate Ventures $2,000,000 $200,000

Company Name

Initial Cost ($)

Salvage Value ($)

Useful Life (years)

Annual Depreciation Expense ($)

BlueSky Enterprises

$1,200,000

$100,000

10

?

RealEstate Ventures

$2,000,000

$200,000

15

?

Coffee Haven

$500,000

$50,000

5

?

Compute the annual depreciation expense for each company and discuss its impact

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