Question: Show your work International Paper has expanded their pulp &paper operations in Southeastern Oklahoma with the purchase of a new high technology saw mll. The
Show your work International Paper has expanded their pulp &paper operations in Southeastern Oklahoma with the purchase of a new high technology saw mll. The saw mill was purchased for $590,000. International Paper expects the saw mill to have a life of 12 years, and have a salvage value is $50,000 sin ati ues 6. Using the Straight Line Method (SL), what is the Book Value for year 6 (Be)? A. $355,000 B. $320,000 C. $270,000 D. $223,000 7. Using the Declining Balance method (DB), what is the depreciation write-off for year 8 (ds)? A. $25,950 B. $32,800 C. $37,350 D. $41,950 -8. Using the Sum-of-the-Year's-Digits method (SOYD), what is the Accumulated Depreciation for year 9 (Ads)? A. $264,350 B. $396,900 C. $498,450 D. $533,750
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