Question

HELP ASAP

Vacation Property Rentals purchased 50 television sets for their rental units at a cost of $250 per television. The televisions have an estimated life of 5 years and a salvage value of $40 per set. What is the book value of all of the televisions at the end of the fifth year?

$1,700
$1,500
$2,000

Answer 1

$2,000

Because 50 tv's times $40 each = 2000

Answer 2

Option C) 2000

Explanation:

Given that vacation Property Rentals purchased 50 television sets for their rental units at a cost of $250 per television.

The televisions have an estimated life of 5 years and a salvage value of $40 per set.

Cost of tV / set = 250 $

Less: Salvage value 40$

Net cost /set 210$

Salvage value for all 50 sets
`= 50x40 = 2000 $`

Out of three options given we find that option C is right answer