Mackerel Company purchased equipment on January 2,2013 for $100,000.The equipment had an estimated eight-year service life and $5,000 salvage value.Mackerel's policy for "eight-year assets" is to use double-declining balance depreciation for the first five years of the asset's life and then switch to the straight-line depreciation method.
Required:
In its December 31,2015 balance sheet,what amount should Mackerel report as net book value for this equipment?

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The Answer of Mackerel Company purchased equipment on January 2,2013 for $100,000.The equipment had an estimated eight-year service life and $5,000 salvage value.Mackerel's policy for "eight-year assets" is to use double-declining balance depreciation for the first five years of the asset's life and then switch to the straight-line depreciation method.
Required:
In its December 31,2015 balance sheet,what amount should Mackerel report as net book value for this equipment?

Mackerel Company Purchased Equipment on January 2,2013 for $100,000