Question

Cupcake Factory purchased an industrial oven for $8,000. The company expects the oven to have a six-year useful life and a salvage value of $500. (Assume straight-line depreciation.)
1. If Cupcake sells the oven after three years for $3,500, would it realize a gain or loss? How much?
2. What would the gain or loss be if the oven were sold for $2,500 after five years?



$1.99
Sales0
Views67
Comments0
  • CreatedSeptember 01, 2014
  • Files Included
Post your question
5000