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Use the Double-Declining-Balance Method of Depreciation

Question 61

Multiple Choice

Use the double-declining-balance method of depreciation. Round to the nearest dollar.
-Beta Graphics buys some CAD-CAM computer equipment at a cost of $8,350 and estimates the life
At 10 years with a scrap value of $835. What is its book value at the end of the fourth year?


A) $5,344
B) $3,420
C) $835
D) $3,078

Correct Answer:

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