Residual value is the remaining amount of a capital asset or fixed asset after fully depreciating it over its useful life. In the case of leased assets, the residual value is the estimated saleable value at the end of the lease term. The assessment of the residual value is necessary at the time of purchase of fixed asset as the cash flows associated with it at the end of the useful life or lease term is required to assess the depreciable value.
If a building has a cost of $100,000 and has a useful life of 20 years after which the building can be disposed-off for $20,000. The $20,000 will be the residual value of the building.
At January 1, 2018, Café Med leased restaurant equipment from
Rhone-Metro Industries manufactures equipment that is sold or leased.
At the beginning of 2016, Robotics Inc. acquired a manufacturing
On January 1, 2018, Majestic Mantles leased a lathe from
On January 1, 2018, National Insulation Corporation (NIC)
On January 1, 2018, Maywood Hydraulics leased drilling equipment from
Mid-South Auto Leasing leases vehicles to consumers. The attraction
Mercury Inc. purchased equipment in 2016 at a cost of $
On April 30, 2018, Quality Appliances purchased equipment for $
Newton Labs leased chronometers from Brookline Instruments on January 1, 2018
