Answer:
$47,428.50
Explanation:
For computing the depreciation expense for 2020, first we have to determine the depreciation expense so that we can find the book value of an asset
So, under the straight-line method, the depreciation expense for 2017 would be
= (Original cost - residual value) ÷ (useful life)
= ($510,000 - $12,000) ÷ (7 years)
= ($498,000) ÷ (7 years)
= $7,1143
For three years, the depreciation would be
= $7,1143 × 3 years
= $213,429
In this method, the depreciation is same for all the remaining useful life
Now the ending book value would be
= Acquired value of an asset - accumulated depreciation
= $510,000 - $213,429
= $296,571
Now the depreciation expense for 2020 would be
= (Ending book value - residual value) ÷ (remaining life)
= ($296,571 - $12,000) ÷ (6 years)
= ($284,571) ÷ (6 years)
= $47,428.50
The remaining life would be
= 9 years - 3 years
= 6 years