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Use the Sum-Of-The-Years'-Digits Method of Depreciation

Question 68

Multiple Choice

Use the sum-of-the-years'-digits method of depreciation. Round to the nearest dollar.
-Find the book value at the end of the second year for an air filtration system which cost $6,300, has
A life of 5 years, and an estimated scrap value of $630.


A) $4,032
B) $2,520
C) $2,898
D) $3,402

Correct Answer:

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