1. Find the book value to the nearest dollar.
Cost $5450, life 6 years, scrap value $382 at the end of 2 years using double-declining balance method
$2422
$2634
$3901
$3785
2. Find the depreciation per unit. Round to the nearest cent.
Cost: $9000
Salvage: $450
Est. Life: 120,000 copies
$0.70
$0.80
$0.07
$0.08
3. Find the amount paid by each insurance company. Assume that any coinsurance requirement is met.
Insurance loss: $15,000
Company A coverage: $90,000
Company B coverage: $30,000
A pays: $11,250
B pays: $3750
A pays: $13,500
B pays: $1500
A pays: $10,500
B pays: $4500
A pays: $15,000
B pays: $0