Find expert answers and community support for all your questions on IDNLearn.com. Discover reliable answers to your questions with our extensive database of expert knowledge.
Sagot :
Answer:
The depreciation expenses will be "950 and 3610". A further explanation is given below.
Explanation:
The given values are:
Cost,
= $21,500
Salvage value,
= $2,500
Asset's total life,
= $100,000
Now,
The Depreciation rate will be:
= [tex]\frac{ (Cost - Salvage \ value) }{Asset's \ total \ life}[/tex]
On putting the values, we get
= [tex]\frac{ (21500 - 2500) }{100000}[/tex]
= [tex]\frac{19000}{100000}[/tex]
= [tex]0.19[/tex]
So,
For the year 2021, the depreciation expense will be:
= [tex]Depreciation \ Rate\times Actual \ Mileage[/tex]
= [tex]0.19\times 5000[/tex]
= [tex]950[/tex]
For the year 2022, the depreciation expense will be:
= [tex]Depreciation \ Rate\times Actual \ Mileage[/tex]
= [tex]0.19\times 19000[/tex]
= [tex]3610[/tex]
We are happy to have you as part of our community. Keep asking, answering, and sharing your insights. Together, we can create a valuable knowledge resource. Thank you for choosing IDNLearn.com. We’re here to provide reliable answers, so please visit us again for more solutions.
