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- On January 1, 2002, DDD Company purchased a car for $40,000. The salvage value is $1,000, and the asset is expected to have a useful life of 20...

Q:-

On January 1, 2002, DDD Company purchased a car for $40,000. The salvage value is $1,000, and the asset is expected to have a useful life of 20 years. On January 1, 2018, DDD Company changes the estimated life of the asset to 25 years and decreases salvage value to $300.


 a. Compute the straight line depreciation from 2002-2017

 b. Company the "new" straight line depreciation from 2018-2026.

Top Answer

a) Straight line depreciation from 2002-2017 = (Cost-Salvage Value)/Useful life Straight line depreciation from 2002-2017 =... View the full answer

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Other Answers

On Jan,1, 2002 , DDD Company's Car = $40,000 salvage value = $1000 Expected useful life : 20 years Calculate depreciation... View the full answer

1 comment
  • Thanxs It was very useful
    • servicesabu
    • Apr 02, 2018 at 9:02pm

A) SLM = $ 1950 per year SLM (2002-2017) =$31200 B) New SLM... View the full answer

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