The acquisition cost of equipment is $452,000$452,000$ Residual value ($($the estimated salvage value)$)$ is $2,000$2,000$ and the useful life is 9$9$ years. with linear depreciation method, what will be the depreciation in the second year? In the third year, the estimate changes to 10$10$ years before the accounting of closing operations ($($from 9$9$ to 10$10$ years)$)$ and the residual value at 6,000.$6,000.$ What will be the new depreciation for year 3?$3?$ Which statements and which accounts will this transaction affect? What will it be like residual value of the property at the end of depreciation in 10$10$ years. If tax depreciation allows the asset to be depreciated over 6$6$ years on a straight−$-$line basis, what will this situation cause?

Answer rating: 100% (QA)

First we should understand linear or straightline depreciation This method spreads out the cost evenly over each year of the assets useful life The fo... View the full answer