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During 2017, Bush Company acquired three assets with the following costs, estimated useful lives, and estimated salvage values: Date Asset Cost Estimated Useful Life Estimated
During 2017, Bush Company acquired three assets with the following costs, estimated useful lives, and estimated salvage values:
Date | Asset | Cost | Estimated Useful Life | Estimated Salvage Value | ||||
February 27 | Truck | $41,200 | 5 years | $7,000 | ||||
June 22 | Computer | 31,000 | 6 years | 2,800 | ||||
September 4 | Building | 241,600 | 28 years | 40,000 |
The company uses the straight-line method to depreciate all assets and computes depreciation to the nearest month. For example, the computer system will be depreciated for six months in 2017.
Required:
1. Compute the depreciation expense that Bush will record on each of the three assets for 2017. Do not round intermediate calculations. If required, round your answers to the nearest dollar.
Asset | Depreciation Expense |
Truck | $ |
Computer | $ |
Building | $ |
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