September 2023 The Golden Broom Cleaning Service acquired new equipment Cost 118 400Residual Salvage Value 12 800Estimated useful Life8 years

2024 Book Value and Depreciation Calculations Assignment Help

The Golden Broom Cleaning Service acquired new equipment Cost 118 400Residual Salvage Value 12 800Estimated useful Life8 years 2023

The Golden Broom Cleaning Service acquired new equipment:Cost$118,400Residual (Salvage Value)$12,800Estimated useful Life8 years or 40,000 UnitsRequired:a. Determine the book value of the asset at the end of the THIRD year if the straight-linedepreciation method is used.b. Determine the depreciation expense for the SECONDyear assuming double-declining balancedepreciation method is used.c. What would be the depreciation expense for the FIRST year if the units-of-productiondepreciation method is used and 6,000 units were produced?Answers:ComputationsNo partial credit will be awarded unless the details of your computations are provided in the space aove.

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