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f. Stewart's Home & Garden is considering buying a small lawn tractor with a trailer attachment for use when servicing customers lawns and gardens. The

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f. Stewart's Home & Garden is considering buying a small lawn tractor with a trailer attachment for use when servicing customers lawns and gardens. The initial cost of this lawn tractor and trailer is $33,500. Both the lawn tractor and trailer are expected to have a seven-year useful life. At the end of the seven years, the lasa tractor and trailer are expected to be sold for salvage parts, with 54,000 realized from this sale. If purchased the lawn tractor and trailer would be depreciated using the straight-line depreciation method 1. Given this information, calculate the straight-line "Depreciation Expense" per year for this fixed asset purchase. 2. If Stewart's Home & Garden borrows the $33.500 needed to purchase the ban tractor and trailer from Security Bank & Trust at a 7% annual interest rate, calculate the Year One "Interest Expense that will be owed on this loan & Based on the analysis that you completed for Stew's Home & Garden, wat recommendation would you make to this form? Please list two recomendations 1 2

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