if an asset has a depreciable basis of $150,000 and a ten-year life, what will be the amount of amortization for each of the ten years?
To calculate the amount of amortization for each of the ten years, you need to divide the depreciable basis by the asset's life. In this case, the depreciable basis is $150,000, and the life of the asset is ten years.
To determine the annual amortization, use the formula:
Annual Amortization = Depreciable Basis / Life of the Asset
Substituting the given values into the formula, we get:
Annual Amortization = $150,000 / 10 years = $15,000
Therefore, the amount of amortization for each of the ten years will be $15,000.