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Question 15 Able Towing Company purchased a tow truck for $60,000 on January 1, 2012. It was originally depreciated on a stra

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Answer #1

Annual depreciation = (60000-12000)/10 = $4800

Net book value at the end of 2013 = 60000-4800*2 = $50400

Depreciation expense for 2014 = (50400-2000)/4 = $12,100

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