Using the straight-line method calculate depreciation


A company purchases a fixed asset with an estimated useful life of 15 years and a salvage value of $10,000. When the asset has 7 years of life remaining, the company decides that the remaining useful life should be 5 years. The asset's net book value at the time of revision is $60,000.

Required:

Using the straight-line method, calculate depreciation expense for the first year after the revision.

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Business Management: Using the straight-line method calculate depreciation
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