Equipment acquired on January 8 at a cost of $137,550 has an estimated useful life of 16
Fantastic news! We've Found the answer you've been seeking!
Question:
Equipment acquired on January 8 at a cost of $137,550 has an estimated useful life of 16 years, has an estimatedresidual valueof $9,550, and is depreciated by thestraight-line method.
a.What was thebook valueof the equipment at December 31 the end of the fifth year?
b.Assuming that the equipment was sold on April 1 of the sixth year for $90,510, what is:
(1) depreciation for the three months until the sale date, and (2) the sale of the equipment.
Posted Date: