Mideast Airlines purchased a 777 aircraft on January 1, 2012 at a cost of $40,000,000. The estimated useful life of the aircraft is 20 years, with an estimated salvage value of $6,000,000.
Instructions
Compute the accumulated depreciation and book value at December 31, 2014 using the straight-line method and the double-declining-balance method.

Question

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The Answer of Mideast Airlines purchased a 777 aircraft on January 1, 2012 at a cost of $40,000,000. The estimated useful life of the aircraft is 20 years, with an estimated salvage value of $6,000,000.
Instructions
Compute the accumulated depreciation and book value at December 31, 2014 using the straight-line method and the double-declining-balance method.

Mideast Airlines Purchased a 777 Aircraft on January 1, 2012