please show work to correct answer, which is $54886.0 Home X a Seane https lluab

Question

please show work to correct answer, which is $54886.0

Home X a Seane https lluabinstructure com/courses/1457413/quczesn957s36 D Material Advantage IMsiteringEns p. Golden Blends D Login Shop EESC Career: D Heat Treatment/Batch M Editprofile olumabul 527130 margin of error. 100 0/ 1 pts Question 2 An engineering firm spent $190,000 to purchase and install new computer equipment in its office. The computer equipment has ausable Ine of 6 years with a salvage value of $840. The company intends to use the computer equipment for only 3 years before it will be sold. Determine the book value (B) of the computer equipment aiter 3 years using sum-of-years-digits sorD depreciation. Express your answer in to the nearest $10. 548860 margin of error 100 Question 3 0/ 1 pts An engineering firm spent $90,000 to purchase and instal new computer equipment in its office. The computer equipment has ausable life of 6 years with asalvage value of $820,The company intends to use the computer equipment for 6 years before it yll be snd, netgming the

Explanation / Answer

Cost of equipment = 190,000.

Life of equipment = 6yrs (1+2+3+4+5+6 = 21)

Salvage value = 840 $

Present book value (B0) = 190000-840 = 189160 $

Sum of digit method formulae = B0 * Remaining Useful life / Total Sum of years

(B0 - D1)First year depreciation(D1) = 6 / 21 * 189160 = 54046 $

First year book value (B1) = 135954 $

Second year depreciation(D2) = 5 / 21 * 189160 $= 45038 $

Second year book value (B2) = 90916 $ (B1 - D 2 )

Third year depreciation(D3) = 4/21 * 189160 $ = 36030 $

Third year book value = 54886.0 $ (B2- D3 )

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.