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On January 1, 2025 , Fa7-O4q Company paid $380,000 to purchase land, a building, and some equipment. The market values of these assets on that
On January 1, 2025, Fa7-O4q Company paid $380,000 to purchase land, a building, and some equipment. The market values of these assets on that date were: land $100,000; building $160,000; equipment $140,000. Before the property could be used, Fa7-O4q Company had to spend $11,000 to put the equipment in working order. The equipment was assigned a $15,000 salvage value and a useful life of ten years. Fa7-O4q Company will use the double-declining balance method to record depreciation on the equipment. On January 1, 2027, Fa7-O4q Company revised the life of the equipment from 10 to 18 years with a salvage value of $7,000 at the end of the 18 years. Calculate the depreciation expense recorded on the equipment for 2029.
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