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Oksi-84 [34.3K]
3 years ago
15

Stallone's sub shop purchased a delivery van for $24,000. Suppose that MACRS allows delivery vans to be depreciated fully in 6 y

ear according to six fixed percents. 20% the first year, 32% the second year, 19.2% the third year, 11.52% the fourth and fifth years, and 5.76% the sixth year. What is the annual depreciation for the second year?
Mathematics
2 answers:
Mumz [18]3 years ago
5 0

Answer:

The annual depreciation for the second year is $7,680.

Step-by-step explanation:

Stallone's sub shop purchased a delivery van for $24,000.

20% the first year, 32% the second year, 19.2% the third year, 11.52% the fourth and fifth years, and 5.76% the sixth year.

The annual depreciation is : The cost of the van * depreciation rate(of desired year)

The depreciation rate is 32% in the second year, so:

For, 2nd year the depreciation will be = 0.32\times24000=7680 dollars.

Therefore, the annual depreciation for the second year is $7,680.

PSYCHO15rus [73]3 years ago
4 0
Hi there

The annual depreciation rate for the second year is 32.%
So the annual depreciation is
24,000×0.32=7,680

Hope it helps
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