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Contemporary Mathematics for Busin...

8th Edition
Robert Brechner + 1 other
ISBN: 9781305585447

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BuyFindarrow_forward

Contemporary Mathematics for Busin...

8th Edition
Robert Brechner + 1 other
ISBN: 9781305585447
Textbook Problem

Complete the following as they relate to the declining-balance method of depredation. Round to the nearest hundredth if necessary.

Straight-Line Declining-Balance
Years Rate (%) Multiple (%) Rate (%)

4 ______ 200 ______

To determine

To calculate: The straight-line rate and declining-balance rate when the useful life is 4 years and declining-balance multiple is 200.

Explanation

Given Information:

The useful life is 4 years and declining-balance multiple is 200.

Formula used:

StraightLine Rate(%)=1Number of years of useful life×100

Decliningbalance rate=1Useful life×Multiple

Calculation:

The provided useful life is 4 years.

The Straight-Line rate is:

StraightLine Rate(%)=1Number of years of useful life×10

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