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[SOLVED] The Andrews Company has just purchased $59,328,000 of plant and equipment that has an estimated useful life of 15 years

The Andrews Company has just purchased $59,328,000 of plant and equipment that has an estimated useful life of 15 years. The expected salvage value at the end of 15 years is $5,932,800. What will the depreciation expense for this purchase (exclude all other plant and equipment) be for the second year of use? (Use FASB GAAP)

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  •  $7,910,400
  •  $3,955,200
  •  $7,119,360

 $3,559,680



honeyd


20-04-21 | 22:25:27

Depreciation=(asset value-salvage)/number of years
=(59,328,000-5932,800)/15
=3,559,680

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