Questions from Engineering


Q: Kobi Technologies book-depreciated an asset at $27,500

Kobi Technologies book-depreciated an asset at $27,500 per year for 4 years using the straight line method. If the book value at the end of year 2 was $65,000, determine the asset’s (a) salvage value,...

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Q: An asset owned by Photon Environmental was book-depreciated by the

An asset owned by Photon Environmental was book-depreciated by the straight line method over a 5-year period with book values of $296,000 and $224,000 in years 2 and 3, respectively. Determine (a) the...

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Q: A special-purpose digitizing system just acquired by Bzybee Consultants has

A special-purpose digitizing system just acquired by Bzybee Consultants has B = $50,000 and a 4-year recovery period. (a) What is the accumulated depreciation after year 3 if the salvage value of the...

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Q: Software and hardware for optimizing cell design of robotic picking lines have

Software and hardware for optimizing cell design of robotic picking lines have an installed cost of $78,000 with no residual value after 5 years. For years 2 and 4, use DDB book depreciation to determ...

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Q: What is meant by an asset’s unadjusted basis? Adjusted basis?

What is meant by an asset’s unadjusted basis? Adjusted basis?

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Q: Determine the first cost of a machine that is used for making

Determine the first cost of a machine that is used for making spill-containment pallets if its book value in year 3 is $25,000. The machine has a 5-year life and the double declining balance method is...

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Q: In capital budgeting, when the present worth over the respective life

In capital budgeting, when the present worth over the respective life of each project is used to select independent projects, all positive net cash flows are assumed to be: (a) Reinvested at the MARR...

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Q: If an asset is book-depreciated by the DDB method over

If an asset is book-depreciated by the DDB method over a 5-year period, how long will it take to reach its salvage value if the estimated salvage is 25% of the first cost?

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Q: If the salvage value of an asset is nil and it is

If the salvage value of an asset is nil and it is depreciated by the double declining balance method, what percentage of the asset’s first cost will remain after its 5-year life?

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Q: A video recording system was purchased 3 years ago at a cost

A video recording system was purchased 3 years ago at a cost of $40,000. A 5-year recovery period and DDB depreciation have been used to write off the basis. The system is to be replaced this year wit...

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