The following table shows how the sum

The following table shows how the sum - Deprecia ble Cost...

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The following table shows how the sum-of-the-years'-digits method allocates depreciation expense to  the truck, which has a depreciable cost of $80,000 ($90,000 cost less $10,000 expected salvage  value) and a useful life of five years. Sum-of-the-Years'-Digits Depreciation
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Unformatted text preview: Deprecia ble Cost Cost $90,000 Year 1 5/15 × $80,000 = $26,667 $26,667 63,333 Year 2 4/15 × 80,000 = 21,333 48,000 42,000 Year 3 3/15 × 80,000 = 16,000 64,000 26,000 Year 4 2/15 × 80,000 = 10,667 74,667 15,333 Year 5 1/15 × 80,000 = 5,333 80,000 10,000...
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This note was uploaded on 11/16/2011 for the course ACCT 2310 taught by Professor Staff during the Spring '09 term at Texas State.

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