Homework Answers
Annual Depreciation expense = (cost - salvage value)/ life of the assets
= (26000-3500)/6
= $3750
a.
| Year 1 | Year 2 | |
| Depreciation expense | $3750 | $3750 |
b.
| Year 1 | Year 2 | |
| Accumulated Depreciation | $3750 | $7500 |
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