Problem 1: A dump truck was bought for P750,000 three years ago. It will have a salvage value of P100,000 two years from now. Using the following methods, determine boe value at the end of 3d year, accrued depreciation at the end of 2nd year and annual depreciation cost at the end of 4 year. Show solutions for the asked years. a. Straight Line Formula YEAR BOOK VALUE AT THE BEGINNING OF THE YEAR ANNUAL DEPRECIATION COST ACCRUED DEPRECIATION BOOK VALUE AT THE END OF THE YEAR

Fundamentals Of Construction Estimating
4th Edition
ISBN:9781337399395
Author:Pratt, David J.
Publisher:Pratt, David J.
Chapter9: Pricing Construction Equipment
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Problem 1: A dump truck was bought for P750,000 three years ago. It will have a salvage value of P100,000 two years from now. Using the following methods, determine book
value at the end of 3d year, accrued depreciation at the end of 2nd year and annual depreciation cost at the end of 4th year. Show solutions for the asked years.
a. Straight Line Formula
YEAR
BOOK VALUE AT THE
ANNUAL DEPRECIATION
COST
ACCRUED DEPRECIATION
BOOK VALUE AT THE END OF THE YEAR
BEGINNING OF THE YEAR
Transcribed Image Text:Problem 1: A dump truck was bought for P750,000 three years ago. It will have a salvage value of P100,000 two years from now. Using the following methods, determine book value at the end of 3d year, accrued depreciation at the end of 2nd year and annual depreciation cost at the end of 4th year. Show solutions for the asked years. a. Straight Line Formula YEAR BOOK VALUE AT THE ANNUAL DEPRECIATION COST ACCRUED DEPRECIATION BOOK VALUE AT THE END OF THE YEAR BEGINNING OF THE YEAR
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