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TB MC Qu. 08-151 Minor Company install a machine...
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Answer #1

Correct Answer:

Option A: $ 32000

Working:

(Straight Line Method)

Machine

A

Cost

$          175,000.00

B

Residual Value

$            15,000.00

C=A - B

Depreciable base

$          160,000.00

D

Life [in years]

5

E=C/D

Annual SLM depreciation

$            32,000.00

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