An asset costs $150,000 and has a salvage value O of $15,000 after 10 years. What is the depreciation charge for the 4th year, and what is the book value at the end of the 8th year with (a) Straight-line depreciation

$13,500

$42,000

Explanation:

Fixed cost of asset = 150000

Salvage value = 15000

Period = 10 years

Annual Depreciation = (fixed cost of asset - Salvage a value) / period

Annual Depreciation = (150000 - 15000) / 10

Annual Depreciation = 135000 / 10

Annual Depreciation = $13500

The 4th year depreciation is also $13,500 as the annual Depreciation charge is equal for each year.

The book value at the end of the 8th year :

Depreciation for 8 years = (13500 * 8) = $108,000

Book value at the end of 8 years = Cost of asset - $108,000

= $150,000 - $108,000

= $42,000

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi

fractionally backed paper money

fiat money

paper money

metallic money