hw7 - 30000 Declining balance year = annual expense...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
BE 9-2 Truck 18000 hw-7 sales taxes 1080 paint 1200 cost of truc 20280 E 9-2 a. land 90000 demolish 8200 less salvage 1700 broker's fee 5000 attorney's fee 1500 cost of the land 104700 b. parking lot debit building and improvement architect's fee debit building and improvement p9-8B a. Straight line : (290000-30000)/5 = 52000 year: Depreciabdepreciatio= annual expense accumulated book value 1 260000 20% 52000 52000 238000 2 260000 20% 52000 104000 186000 3 260000 20% 52000 156000 134000 4 260000 20% 52000 208000 82000 5 260000 20% 52000 260000
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 30000 Declining balance year: Depreciabdepreciatio= annual expense accumulated book value 1 290000 40% 116000 116000 174000 2 174000 40% 69600 185600 104400 3 104400 40% 41760 227360 62640 4 62640 40% 25056 252416 37584 5 37584 40% 7584 260000 30000 B. straight line would result more income in report in 2007 same in 5 year total C. declining balance would result in lower report 2007 income, same in 5 year total...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online