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A building acquired at the beginning of the year at a cost of $1,375,000 has an estimated residual value of $250,000 and an estimated useful life of 40 years. Determine the following.

(a) The double-declining-balance rate %

(b) The double-declining-balance depreciation for the first year $

A building acquired at the beginning of the year at a cost of $1,450,000 has an estimated residual value of $300,000 and an estimated useful life of 10 years. Determine the following:

(a) The depreciable cost $

(b) The straight-line rate %

(c) The annual straight-line depreciation $

A truck acquired at a cost of $69,000 has an estimated residual value of $12,000, has an estimated useful life of 300,000 miles, and was driven 77,000 miles during the year. Determine the following. If required, round your answer for the depreciation rate to 2 decimal places.

(a) The depreciable cost $

(b) The depreciation rate $ per mile

(c) The units-of-activity depreciation for the year $

Equipment with a cost of $180,000 has an estimated residual value of $14,400, has an estimated useful life of 16 years, and is depreciated by the straight-line method.

a. Determine the amount of the annual depreciation. $

b. Determine the book value at the end of the tenth year of use. $

c. Assuming that at the start of the eleventh year the remaining life is estimated to be eight years and the residual value is estimated to be $10,500, determine the depreciation expense for each of the remaining eight years.$

Financial Accounting, Accounting

  • Category:- Financial Accounting
  • Reference No.:- M92046939

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