Item 9 Item 9 Schager Company purchased a computer system on January 1, 2019, at a...
Item 9
Item 9
Schager Company purchased a computer system on January 1, 2019,
at a cash cost of $34,000. The estimated useful life is 10 years,
and the estimated residual value is $3,900. The company will use
the double declining-balance depreciation method.
What is the accumulated depreciation balance as of December 31,
2020?
Homework Answers
Double declining rate = 200/useful life = 200/10 = 20%
Depreciation for year 2019 = 34,000*20% = 6800
Depreciation for year 2020 = (34,000-6800)*20% = 5440
Accumulated Depreciation as of Dec 31,2020
= 6800+5440
= 12240
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Item 9
Item 9
Schager Company purchased a computer system on January 1, 2019,
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