Fernando's Grocery purchased a new cooler for the produce department for $28,000. Shipping charges were $800 and installation charges amounted to $1,280. The cooler is expected to last for 6 years and have a trade-in value of $2,000. Max will use the straight-line method of depreciation.
A)What is the amount of accumulated depreciation after the second year?
B)What is the book value of the cooler after the fifth year?

Question

Quizplus · Accepted Answer

The Answer of Fernando's Grocery purchased a new cooler for the produce department for $28,000. Shipping charges were $800 and installation charges amounted to $1,280. The cooler is expected to last for 6 years and have a trade-in value of $2,000. Max will use the straight-line method of depreciation.

Fernando's Grocery Purchased a New Cooler for the Produce Department