Monty Limited purchased a new computer system for $130,000. It is estimated that the computer will...

 

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Monty Limited purchased a new computer system for $130,000. It is estimated that the computer will have an $10,110 residual value at the end of its 5-year useful service life. The double diminishing-balance method of depreciation will be used. Prepare a depreciation schedule that shows the annual depreciation expense on the computer for its 5-year life. (Hint: It might require an adjustment in the final year of depreciating an asset in order for the carrying amount to equal the residual value.) (Round answers to O decimal places, e.g. 5,275.) leginning ear Depreciation Rate % % % $ Annual Depreciation Expense Accumulated Depreciation $ Carryi End of Monty Limited purchased a new computer system for $130,000. It is estimated that the computer will have an $10,110 residual value at the end of its 5-year useful service life. The double diminishing-balance method of depreciation will be used. Prepare a depreciation schedule that shows the annual depreciation expense on the computer for its 5-year life. (Hint: It might require an adjustment in the final year of depreciating an asset in order for the carrying amount to equal the residual value.) (Round answers to O decimal places, e.g. 5,275.) leginning ear Depreciation Rate % % % $ Annual Depreciation Expense Accumulated Depreciation $ Carryi End of

Answer rating: 100% (QA)

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