If I purchased a truck @ $45,000 with 5 years of expected life and $5,000 salvage value. What would be the depreciation expense taken each year? Also, what would be my book value @ the end of the 4th year?
This is my current logic. Can someone pls confirm?
Part I
45,000-5,000 = 40,000/5yrs
(8,000 will be taken each year)
Part II
My aswer is $8,000 book value, but my quesiton is, do I now add the salvage value of $5000 to this $8000 value?
HELP!!!
2007-03-02 01:56:56 · 4 answers · asked by DontTell 2 in Business & Finance ➔ Other - Business & Finance
Book value = the value at which an asset is carried on a balance sheet. In other words, the cost of an asset minus accumulated depreciation plus any salvage value. So at end of 4th year you have $8,000+ $5,000 = $13,000 book value.
2007-03-02 02:02:41 · answer #1 · answered by themainsail 5 · 0⤊ 0⤋
The final $5000 is considered as an asset account item unless the actual sale price is more or less when it is sold or traded after the 5 years. Then the actual value is put on the books.
2007-03-02 02:01:04 · answer #2 · answered by NJGuy 5 · 0⤊ 1⤋
Pt 1 - yes Pt 2 - yes ($13,000) Both yeses based on the assumption your going by a straight depreciation method.
2007-03-02 02:02:43 · answer #3 · answered by Nicktu 2 · 1⤊ 0⤋
If the message is on your despatched folder then your account has been hacked. Use a higher password with letters and numbers. If it does no longer then the message become despatched with the From field become replaced to look as even though it got here out of your account. no longer something you need to do about it.
2016-11-27 00:03:29 · answer #4 · answered by rasavong 4 · 0⤊ 0⤋