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Business Math

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A. A $1200 postage printing system depreciated using the straight-line method over 4-years. In your depreciation schedule, give the following information for each year:

1.The year's depreciation
2.The accumulated depreciation
3.The year's end-of-book value

  • Business Math - ,

    I'm trying to figure out the same problem. We'll just have to read the book

  • Business Math - ,

    $1200/4= $300

    The item depreciates $300 per year, leaving an end-of-book value of $0 since there is no scrap or salvage value. The accumulated value is $300 added each year. For example, $300 depreciation the first year, making the end-of-year book value for the first year $900. There is no accumulated depreciation in the first year other than the first $300.
    The second year depreciates another $300, which adds another $300 to the accumulated depreciation totaling $600, making the end-of-year book value for the second year $600.
    The third year, it depreciates another $300, accumulating the depreciation to $900, thus making the end-of-year book value for this year $300. I am sure you can figure out the fourth year on your own. It is very simple.

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