Calculate the book value book value of the equipment at dec

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Question 1: Bis' Company purchased a piece of equipment on January 1, 2031 January 1, 2031 for $213,000. The equipment was assigned an expected life of ten years and a residual value of $3,800. The straight-line method straight-line method method will be used to record depreciation on the equipment. On January 1, 2036 January 1, 2036,Bis' Company spent $74,600 to overhaul the equipment. This capital expenditure resulted in Bis'Company changing the life of the equipment from 10 years to 25 years and adjusting the residual value to be $4,400 at the end of the 25 years. Calculate the book value book value of the equipment at December 31, 2039 at December 31, 2039.

Reference no: EM132873399

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