Question: Johnson Limited bought a camera on 3 May 2017 for $10,000 (excluding GST), with an estimated residual value of $2,000 and a useful life of

Johnson Limited bought a camera on 3 May 2017 for $10,000 (excluding GST), with an estimated residual value of $2,000 and a useful life of 4 years.

Required:

Calculate the depreciation deductions that Johnson Limited will be able to claim for the 2016 and 2017 income years for the camera and determine the closing book value of the assets in each year. Use the appropriate depreciation method(s) based on the information provided. The business closes its books on 30 June every year.

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