ANSWERS TO QUESTIONS

The carrying value of a fixed asset is its cost less accumulated depreciation. If the company estimates that the asset will have an unrealistically long life, periodic depreciation charges, and hence accumulated depreciation, will be lower. ... $105,000 X 14,300 = $35,750 42,000 Sum-of-the-years’-digits, $105,000 X 20/210* = $10,000 Declining ... ................
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