A business purchases a van for $\$ 27,600$ . After 5 years, its depreciated value will be $\$ 12,400$ . Assuming straight line depreciation, what will be the value of the van in $4$ years?
A)$ $5,520$
B)$ $24,560$
C)$ $12,160$
D)$ $23,800$
E)$ $15,440$

Question

Quizplus · Accepted Answer

The van depreciates by $(27,600 - 12,400) / 5 = 3,040$ per year. After 4 years, it will depreciate by $3,040 \times 4 = 12,160$. The value after 4 years is $27,600 - 12,160 = 15,440$.

A Business Purchases a Van For $27,600\$ 27,600$27,600 After 5 Years, Its Depreciated Value Will Be

A Business Purchases a Van For $\$ 27,600$ After 5 Years, Its Depreciated Value Will Be