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kenny6666 [7]
3 years ago
15

On January​ 2, 2019, Kaiman Corporation acquired equipment for $ 700,000. The estimated life of the equipment is 5 years or 50,0

00 hours. The estimated residual value is $ 10,000. What is the balance in Accumulated Depreciation on December​ 31, 2020, if Kaiman Corporation uses the straightminusline method of​ depreciation?
Business
1 answer:
Aneli [31]3 years ago
5 0

Answer:

Accumulated depreciation= $276,000

Explanation:

Giving the following information:

On January​ 2, 2019, Kaiman Corporation acquired equipment for $ 700,000. The estimated life of the equipment is 5 years. The estimated residual value is $ 10,000.

Depreciable value= 700,000 - 10,000= 690,000

Straight-line depreciation= 690,000/5= $138,000

Accumulated depreciation= 138,000*2= $276,000

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