The price of the construction equipment to be bought on a road construction site is 10000 (ten thousand) dollars. The economic life of this construction machine is 5 years and it has a scrap value of 2000 (two thousand) dollars. Find the annual depreciation value (dt) of this machine when the depreciation calculation is made using the correct line method. please fast help me
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The price of the construction equipment to be bought on a road construction site is 10000 (ten thousand) dollars. The economic life of this construction machine is 5 years and it has a scrap value of 2000 (two thousand) dollars. Find the annual
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- Cisco Systems is purchasing a new bar code scanning device for its service center in San Francisco. The table on the right lists the relevant initial costs for this purchase. The service life of the system is 4 years and its salvage value for depreciation purposes is expected to be about 22% of the hardware cost. a. What is the cost basis of the device? b. What are the annual depreciations of the device if (i) the SL method is used? (ii) the 150% DB method is used? (iii) the 200% DB method is used? c. Calculate the book values of the device at the end of 4 years using all the methods above. Answers: (a) The cost basis of the device is $ (Round to the nearest dollar) (b) Annual depreciaitions and book values: (Round to the nearest dollar) 200% DB Year 1 2 3 4 Book values at end of year 4 SL 150% DB (...) 0 Cost Item Hardware Training Installation Cost $165,000 $15,000 $15,000Assume that your company is considering a new project and has collected the following information about the project. (Note: You may or may not need to use all of this information, use only the information that is relevant.) The project has an anticipated economic life of 4 years. The company will have to purchase a new machine. The machine will have an up-front cost of $2 million at Year O. The machine will be depreciated on a straight-line basis over 4 years (that is, depreciation expense will be $500,000 in each of Years 1-4). The company anticipates that the machine will last for four years, and that after four years, its salvage value will equal zero. If the company goes ahead with the proposed product, it will have an effect on the company's net operating working capital. At the outset, Year O, inventory will increase by $140,000 and accounts payable will increase by $40,000. At Year 4, the net operating working capital will be recovered after the project is completed. The project…Cisco Systems is purchasing a new bar code - scanning device for its service center in San Francisco. The table on the right lists the relevant initial costs for this purchase. The service life of the system is 4 years and its salvage value for depreciation purposes is expected to be about 23% of the hardware cost. a. What is the cost basis of the device? b. What are the annual depreciations of the device if (i) the SL method is used? (ii) the 150% DB method is used? (iii) the 200% DB method is used? c. Calculate the book values of the device at the end of 4 years using all the methods above. Answers: (Round to the nearest dollar) (a) The cost basis of the device is $ (b) Annual depreciaitions and book values: (Round to the nearest dollar) Year 1 2 3 4 Book values at end of year 4 SL 69 69 69 69 69 150% DB 69 $ $ 200% DB 69 69 69 12 Cost Item Hardware Training Installation Cost $160,000 $16,000 $17,000
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