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A new bar code reading device has been installed cost basics of $ 20490 and an estimated service life if 7 years .What will be the depreciation charge be in year seven

User Simme
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1 Answer

7 votes

Answer:

$2,721.28

Step-by-step explanation:

Use the following formula to calculate the depreciation expense

Depreciation Expense = Net book Value x 2 / Estimated service life

All the working is attached with this answer please find the attached file

The Question is incomplete, complete question is provided below

A new bar code reading device has been installed cost basis of $ 20490 and an estimated service life if 7 years. It will have a zero salvage value at that time. The 200% declining balance method is used to depreciate this asset.

What will the depreciation charge be in year seven?

A new bar code reading device has been installed cost basics of $ 20490 and an estimated-example-1
A new bar code reading device has been installed cost basics of $ 20490 and an estimated-example-2
User Katmoon
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