Question

A building was purchased for $60,000. The asset has an expected usefull life of eight years and depreciation expense each year is $5,000 using the straight-line method. What is the residual value of the building?

10,000$
0$
12,500$
7,500$A building was purchased for $60,000. The asset has an expected usefull life of eight years and depreciation expense each year is $5,000 using the straight-line method. What is the residual value of the building?
10,000$
0$
12,500$
7,500$

Answer 1

The answer according to my research is 12,500$