The company bought the land for 9 million four years ago if the company sells it today
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Question:
The company bought the land for 9 million four years ago if the company sells it today it would receive $11.5 million. It has a ten year tax life and the company uses diminishing value method of deprecation at 25% per annum for the plant. at the end of year 6 the plant can be scrapped for $52 million. Calculate the deprecation using diminishing value with the depreciation table.
Related Book For
Basic Finance An Introduction to Financial Institutions Investments and Management
ISBN: 978-1111820633
10th edition
Authors: Herbert B. Mayo
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