Question

Hmm not sure if I’m doing annual depreciation correctly, my books aren’t giving me well enough examples to understand. Please correct me with explanation. 27-31

Answer 1

Answer: 27) $800

28) $1,200

29) $1,030

30) $1,036.88

31) $571.43

Explanation:

`\frac{\text{Cost - Trade in value}}{\text{Useful life}}=\text{Annual Depreciation}\\\\\\27)\quad (\$4500-\$500)/(5\ yr)=\large\boxed{\$800\text{ per year}}\\\\\\28)\quad (\$10,000-\$2,800)/(6\ yr)=\large\boxed{\$1200\text{ per year}}\\\\\\29)\quad (\$8150-\$3000)/(5\ yr)=\large\boxed{\$1030\text{ per year}}\\\\\\30)\quad (\$12,995-\$4,700)/(8\ yr)=\large\boxed{\$1,036.88\text{ per year}}\\\\\\31)\quad (\$2685-\$685)/(3.5\ yr)=\large\boxed{\$571.43\text{ per year}}`

Reminder that when working with money, you need to round to two decimal places to account for the cents.