Stallone's sub shop purchased a delivery van for $24,000. suppose that macrs allows delivery vans to be depreciated fully in 6 year according to six fixed percents. 20% the first year, 32% the second year, 19.2% the third year, 11.52% the fourth and fifth years, and 5.76% the sixth year. what is the annual depreciation for the second year?

The annual depreciation for the second year is $7,680.

Step-by-step explanation:

Stallone's sub shop purchased a delivery van for $24,000.

20% the first year, 32% the second year, 19.2% the third year, 11.52% the fourth and fifth years, and 5.76% the sixth year.

The annual depreciation is : The cost of the van * depreciation rate(of desired year)

The depreciation rate is 32% in the second year, so:

For, 2nd year the depreciation will be = dollars.

Therefore, the annual depreciation for the second year is $7,680.