Ellen's Antiques reported the following in its December 31,2016,balance sheet:
Equipment $4,000,000
Accumulated depreciation-equipment $3,150,000
In a disclosure note,Ellen's indicates that it uses straight-line depreciation over eight years and estimates salvage value at 10% of cost.
Required: Compute the average age of Ellen's equipment at 12/31/2015.

Question

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The Answer of Ellen's Antiques reported the following in its December 31,2016,balance sheet:
Equipment $4,000,000
Accumulated depreciation-equipment $3,150,000
In a disclosure note,Ellen's indicates that it uses straight-line depreciation over eight years and estimates salvage value at 10% of cost.
Required: Compute the average age of Ellen's equipment at 12/31/2015.

Ellen's Antiques Reported the Following in Its December 31,2016,balance Sheet