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denis-greek [22]
3 years ago
12

A building is acquired on January 1,at a cost of 930,000 with estimated useful life of 8 years and salvage value of 73,700

Mathematics
1 answer:
shutvik [7]3 years ago
3 0

Answer:

Year 1 = $196,000

Year 2= $156,800

Year 3= $125,440

Step-by-step explanation:

$980,000 x 20 % = $196,000

Net book value

$980,000 - $196,000 = $784,000 (to be used as base for year 2)

Year 2

$784,000 x 20% = $156,800

Net book value

$784,000 - 156,800 = $627,200

Year 3

$627,200 x 20% = $125,440

Net book value

$627,200 - $125,440 = $501,760

*Salvage value is ignored in computing the yearly depreciation expense under double-declining-balance method. The reason of it is that, it will take longer to depreciate an asset compare to it’s useful life if we deduct salvage value from original cost in depreciating an asset.

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Use the formula for the probability of two dependent events P(A and B) to derive the conditional probability formula for P(B | A
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The conditional probability formula for P(B | A) has been derived from two dependent events P(A and B).

<h3>What is said to be dependent events?</h3>

When the outcome from one event influences the outcome of the other, two events are referred to as dependent.

  • Dependent events in probability are generally real-life events that depend on another event to occur.
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Derivation of conditional probability from two dependent events P(A and B) is-

The probability multiplication rule is used to derive the conditional probability formula, P(A and B) = P(A)×P(B|A).

This rule is also known as P(AB). The Union symbol (∪) represents "and," as in event A occurring and event B occurring.

Step 1: Write the multiplication rule down:

           P(A and B) = P(A)*P(B|A)

Step 2: P(A) divides both sides of the equation:

           P(A and B) / P(A) = P(A)*P(B|A) / / P(A)

Step 3: On the right side of the equation, cancel P(A):

           P(A and B) / P(A) = P(B|A)

Step 4: Rewrite the equation as follows:

           P(B|A) = P(A and B) / P(A)

Therefore, P(B | A) conditional probability formula is compiled from two dependent events P (A and B).

To know more about the conditional probability, here

brainly.com/question/10739997

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