Newtech purchases computer equipment for $267,000 to use in operating activities for the next four years. it estimates the equipment’s salvage value at $25,000.
required:
prepare a table showing depreciation and book value for each of the four years assuming double-declining-balance depreciation. (enter all amounts positive values.)

Explanation:

Giving the following information:

NewTech purchases computer equipment for $267,000 to use in operating activities for the next four years. It estimates the equipment’s salvage value at $25,000.

Depreciable value= 267,000 - 25,000= 242,000

Year 1:

Beginning book value= 267,000

Depreciation= (267,000/4)*2= 133,500

Ending book value= 133,500

Year 2:

Beginning book value= 133,500

Depreciation= (133,500/4)*2= 66,750

Ending book value= 66,750

Year 3:

Beginning book value= 66,750

Depreciation= (66,750/4)*2= 33,375

Ending book value= 33,375

Year 4:

Beginning book value= 33,375

Depreciation= (33,375/4)*2= 16,688

Ending book value= 16,688

answersecondary succession;