A corporation in the plastics sector (class of three years) will buy a power tool at a
Fantastic news! We've Found the answer you've been seeking!
Question:
A corporation in the plastics sector (class of three years) will buy a power tool at a cost of $400K, with a lifespan of four years, and no residual value. It is estimated at $200K annual revenue and will depreciate the equipment using MACRS. Assuming that the equipment starts to be used on January 1, how much is the value in the books at the end of the fourth year?
- $59,240
- $29,640
- $400,000
- 0
- None of the above
Related Book For
Managerial Accounting Tools for business decision making
ISBN: 978-1118096895
6th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
Posted Date: