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Using Straight-Line Depreciation (SLD) , a machine costs $400,000 today has a planned life of 20 years , with a salvage value of $80,000 at
Using Straight-Line Depreciation (SLD), a machine costs $400,000 today has a planned life of 20 years, with a salvage value of $80,000 at the end of its life. If we use both Declining-balance depreciation (DBD) and Straight-line depreciation (SLD) methods, what depreciation rate for the DBD method will result in the same book value for both methods at the end of year 10?
d = 5.59% | ||
d = 4.98% | ||
d = 3.91% | ||
d = 4.05% | ||
d = 3.41% |
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