1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
goldfiish [28.3K]
3 years ago
11

When originally purchased, a vehicle costing $23,000 had an estimated useful life of 8 years and an estimated salvage value of $

3,000. after 4 years of straight-line depreciation, the asset's total estimated useful life was revised from 8 years to 6 years and there was no change in the estimated salvage value. the depreciation expense in year 5 equals:?
Mathematics
2 answers:
vichka [17]3 years ago
7 0
<span>For the initial case: the annual straight-line depreciation would be (23,000 - 3,000) / 8 = $2,500/yr. After 4 years, the value would be lower by $2500*4 = $10000, so 23,000 - 10,000 = $13,000 book value.
Revising the estimated life down to 6 years means that only 2 years remain, so the new straight-line depreciation is (13,000 - 3,000) / 2 = $5,000/yr
Therefore, the depreciation expense in year 5 is $5,000.
</span>
earnstyle [38]3 years ago
6 0
The <u>correct answer</u> is:

$5,000.

Explanation:

When it is first purchased, the depreciation expense is calculated using the formula:

\text{Depreciation expense}=\frac{\text{Cost}-\text{Salvage Value}}{\text{Useful Life}}

The cost was $23,000; the salvage value was $3,000; and the useful life was 8 years:

\text{Depreciation Expense}=\frac{23000-3000}{8}=\frac{20000}{8}= \$2500

This means the value of the vehicle depreciates $2500 per year.

After 4 years, the vehicle would depreciate 2500(4) = $10,000.

This makes the new value $23000-$10000 = $13000.

Reevaluating the depreciation expense at this point, we use $13000 for the "cost" (current value), $3000 is still the salvage value, and now the total useful life was 6; we take 4 off of this, since it has already been 4 years:

\text{Depreciation Expense}=\frac{13000-3000}{6-4}=\frac{10000}{2}= \$5000

The depreciation expense in year 5 is $5,000.
You might be interested in
I am a solid figure with two congruent polygons that are bases connected with lateral faces that are rectangles
Andrews [41]
<span>We have lateral faces that are rectangles and 2 congruent polygons that are bases. This must be 3-dimensional solid figure - quadrilateral prism. If those 2 bases are squares then it is a rectangular prism, but the bases also can be 2 rhombuses. Answer: Quadrilateral prism.</span><span />
5 0
3 years ago
Mr. Peter's has 80 sheets of colored paper. Seven of his students need the paper for a project. How many sheets does each studen
Julli [10]

Answer:

Each student gets 11 pieces.

Step-by-step explanation:

80 ÷ 7 = 11.42857

80 divided by 7 comes out to a decimal therefore, you will have a remainder. 7 × 11 = 77

The answer would be 11 remainder 3.

8 0
3 years ago
What is the equation?
Arturiano [62]

Answer:

You already wrote the equation

Step-by-step explanation:

5 0
2 years ago
Read 2 more answers
Nan’s art sculpture is a pyramid. She will cover all the faces with gems, except the base of the pyramid.
marysya [2.9K]

Answer:

it is 54

Step-by-step explanation:

i took the test and checked the answer

6 0
3 years ago
Read 2 more answers
A gift box has a surface area of 6.25 square feet. What is the surface area of the box in square inches?
guapka [62]

The surface area of the box in square inches will be 39.0625 inches².

<h3>How to calculate the area?</h3>

From the information, the gift box has a surface area of 6.25 square feet.

Therefore, the surface area of the box in square inches will be:

= Side × Side

= 6.25 × 6.25

= 39.0625 inches²

Therefore, the surface area of the box will be 39.0625 inches².

Learn more about area on:

brainly.com/question/25292087

#SPJ1

4 0
1 year ago
Other questions:
  • Verbal expression for 7^8
    7·2 answers
  • A company manufactures ball bearings for precision machines. The average diameter of a certain type of ball bearing should be 6.
    14·1 answer
  • What is this vertex of the graph ?
    8·1 answer
  • Andrew, who operates a laundry business, incurred the following expenses during the year. ∙ Parking ticket of $250 for one of hi
    15·1 answer
  • Caroline made w batches of 12 cookies how many cookies did she make?<br>(12 cookies in each batch)
    9·2 answers
  • Please answer fast urgently ​
    14·2 answers
  • Pls answer this question im confused
    10·1 answer
  • Write an expression for the sequence of operations described below.
    5·1 answer
  • When solving this equation for x, what would you do next?
    6·1 answer
  • If you draw all of the diagonals from one vertex of a regular hexagon, how
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!