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In 1998, Nash Company completed the construction of a building at a cost of $4,080,000 and first occupied it in January 1999. It was estimated
In 1998, Nash Company completed the construction of a building at a cost of $4,080,000 and first occupied it in January 1999. It was estimated that the building will have a useful life of 40 years and a salvage value of $201,200 at the end of that time. Early in 2007, an addition to the bullding was constructed at a cost of $1.530,000. At that time it was estimated that the remaining life of the building would be, as originally estimated, an additional 32 years, and that the addition would have a life of 32 years, and a salvage value of $19,600. In 2027, it is determined that the probable life of the building and addition will extend to the end of 2048 or 10 years beyond the original estimate. Compute the annual depreciation to be charged beginning with 2027. (Round answer to 0 decimal places, eg. 45,892.) Annual depreciation expense Attempts: 1 of 4 used
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