A machine equipment has an initial purchase price of 20000 TL, an estimated scrap value of 2000 TL and an economic life of 5 years. a) Calculate using the Line-Line Method. b) Calculate using the Sum of Annual Figures Method. c) Calculate with the Declining Balance Method.

A machine equipment has an initial purchase price of 20000 TL, an estimated scrap value of 2000 TL and an economic life of 5 years. a) Calculate using the Line-Line Method. b) Calculate using the Sum of Annual Figures Method. c) Calculate with the Declining Balance Method.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter18: Accounting For Long-term Assets

Section: Chapter Questions

Problem 3CE: A machine costing 350,000 has a salvage value of 15,000 and an estimated life of three years....

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Question

A machine equipment has an initial purchase price of 20000 TL, an estimated scrap value of 2000 TL and an economic life of 5 years.
a) Calculate using the Line-Line Method.
b) Calculate using the Sum of Annual Figures Method.
c) Calculate with the Declining Balance Method.

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