What is the answer to the question?
2 answers:
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Answer:
The depreciation each year is option B. $1500.00
Step-by-step explanation:
Initial value of car = $9600
Salvage value = $600
Salvage value is the final value of product after all the depreciation have been applied on the product.
So, total depreciation on the car =
Also, it is given that the depreciation occurs at a straight line method i.e. same depreciation occurs every year.
Depreciation in 6 years = $9000
Depreciation in 1 year =
Hence, option B. $1500 is the correct answer for the depreciation every year.