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please solve by hand not excel 97) The restaurant chain Cheesecake Factory has established a new online document imaging management system worth of $100 000.
please solve by hand not excel
97) The restaurant chain Cheesecake Factory has established a new online document imaging management system worth of $100 000. The estimated useful life of the system is 8 years and its tax depreciation recovery period is 5 years. Determine the present worth of total depreciation for (a) SL method (b) DDB method (c) DDB switching To SL. (d) use MACRS method to depreciate the same asset for a recovery period of 5 years and compare the PW values. Answer: a) PWp = $67044 b) PWD = $69915 c) Year 1: Dst = $20000, BV1=$60000, Year 2: Dsc = $15000, BV3= $21600, Year 4: Ds = $10800 D4=$10800, year 5: Ds=$12960, total depreciation=$100000, PW) = $73943 d) PWO = $69016 97) The restaurant chain Cheesecake Factory has established a new online document imaging management system worth of $100 000. The estimated useful life of the system is 8 years and its tax depreciation recovery period is 5 years. Determine the present worth of total depreciation for (a) SL method (b) DDB method (c) DDB switching To SL. (d) use MACRS method to depreciate the same asset for a recovery period of 5 years and compare the PW values. Answer: a) PWp = $67044 b) PWD = $69915 c) Year 1: Dst = $20000, BV1=$60000, Year 2: Dsc = $15000, BV3= $21600, Year 4: Ds = $10800 D4=$10800, year 5: Ds=$12960, total depreciation=$100000, PW) = $73943 d) PWO = $69016 Step by Step Solution
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