Question: please do by hand and explain briefly and dont use any software tool. (hint to find useful life in years - using book value lost

please do by hand and explain briefly
and dont use any software tool.
3. The plant manager of a fiber optics company knows that the
(hint to find useful life in years - using book value lost 53.92% then remain 46.08% and then original cost of asset 500,000. now find the useful life in years )

3. The plant manager of a fiber optics company knows that the remaining capital investment in several types of capital equipment is more closely approximated to the Straight-line depreciation methods than the rapid write-off methods like the MACRS. Therefore, he keeps four sets of books, one for tax purposes (the MARCS) and the other three for equipment management purposes. After some years of depreciation, the accountant using the MACRS determined the book value of the asset to be $230,400 after losing 53.92% of its value at the end of that year of depreciation. If the company's MARR is 12% and the equipment has a salvage value of 25 % of the initial cost: i. ii. iii. iv. Compute the depreciation schedule (table) for the equipment including its book value each year using the Straight-line depreciation method. Compute the depreciation schedule for the equipment including its book value each year using the MACRS depreciation method. Compute the depreciation schedule for the equipment including its book value each year using the Sum of years Digits Compute the depreciation schedule for the equipment including its book value each year using the Double Declining Balance method.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!