Question: On January 1, 2014 West Company acquired an elevator that cost $400,000. The company estimates residual value of $50,000 and a useful life 10 years. The company uses the declining balance metal rate of 30%. To December 31, 2016 the estimates had not changed.
REQUIRED: What is the depreciation expense for each of 2014, 2015, and 2016 on the elevator?
What is the net book value of the elevator at December 31, 2016?