If an asset with a salvage value of $1,500 is being depreciated at a rate of $1,500

Question:

If an asset with a salvage value of $1,500 is being depreciated at a rate of $1,500 per year using the straight-line method over a useful life of four years, how much did the asset cost?

Salvage Value
Salvage value is the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life. As such, an asset’s estimated salvage value is an important...