Declining Balance
The cost of the asset: $10,000.00
The salvage value: $800.00
The life of the asset: 4 years
Calculate the Depreciation Expense to the Nearest One Dollar at End of Year 2.
Solution
Since No depreciation rate is given it is assumed theat depreciation is calclucated based on
double decling balance method
Hence depreciation Rate =1/4*2 =50%
Depreciation Exxpense at year 2 is $3750Carrying Value
at the beginningDepreciationCarrying value at the EndYear 11000025007500Year
2750037503750.
Beyond the EU: DORA and NIS 2 Directive's Global Impact
Declining BalanceThe cost of the asset $10,000.00 The salvage v.pdf
1. Declining Balance
The cost of the asset: $10,000.00
The salvage value: $800.00
The life of the asset: 4 years
Calculate the Depreciation Expense to the Nearest One Dollar at End of Year 2.
Solution
Since No depreciation rate is given it is assumed theat depreciation is calclucated based on
double decling balance method
Hence depreciation Rate =1/4*2 =50%
Depreciation Exxpense at year 2 is $3750Carrying Value
at the beginningDepreciationCarrying value at the EndYear 11000025007500Year
2750037503750
