Looking for trustworthy answers? Westonci.ca is the ultimate Q&A platform where experts share their knowledge on various topics. Get expert answers to your questions quickly and accurately from our dedicated community of professionals. Our platform offers a seamless experience for finding reliable answers from a network of knowledgeable professionals.
Sagot :
Using the straight-line method, the company should report annual depreciation for the equipment of $4,200.
Given,
A company buys equipment for $48,000 expects to use it for ten years, and then sell it for $6,000
The formula to calculate annual depreciation is given below-
Annual depreciation = (Original cost - salvage value) / Estimated life(years)
Annual depreciation = ($48,000 - $6,000) / 10
Thus, annual depreciation = $4,200
A standard yearly rate at which depreciation is charged to a fixed asset is called annual depreciation. Thus, to calculated depreciation the straight-line method is used. Where you need to subtract the asset's salvage value from its cost.
To learn more about annual depreciation here:
https://brainly.com/question/27971176
#SPJ4
Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. We hope this was helpful. Please come back whenever you need more information or answers to your queries. Westonci.ca is your go-to source for reliable answers. Return soon for more expert insights.
