What is the difference in the amount of depreciation

Assignment Help Econometrics

Reference no: EM13223960

A construction company is considering changing its depreciation from the MACRS method to the historical SL method for a general purpose hauling truck. The cost basis of the truck is $100,000, and the expected salvage value for depreciation purpose is $8,000. The company will use the truck for eight years and will depreciate it over this period time with the SL method. What is the difference in the amount of depreciation that would be claimed in year five (i.e., MACRS versus SL)?

Reference no: EM13223960

Questions Cloud

Floating and fixed exchange-rate systems : Describe briefly the advantages and disadvantages of both floating and fixed exchange-rate systems. Which do you think the world will move toward in the future?

What are the largest issues facing business government : What are the three largest issues facing the business government society relationship? Explain why you chose those three.

What is the taxable income at the end of year : An injection-molding machine can be purchased and installed for $90,000. It is in the seven-year GDS property class and is expected to be kept in service for eight years. It is believed that $10,000 can be obtained when the machine is disposed of ..

Analyze and evaluate the different leadership : Analyze and evaluate the different leadership theories and behavior approaches, including the Tuckman four stages of group development model.

What is the difference in the amount of depreciation : A construction company is considering changing its depreciation from the MACRS method to the historical SL method for a general purpose hauling truck. The cost basis of the truck is $100,000, and the expected salvage value for depreciation purpose..

Find that consumers wont buy it because they dont like taste : A fast-food company spends millions of dollars to develop and promote a new hamburger on its menu only to find out that consumers won't buy it because they don't like the taste. From an economic prespective, the company should

Explain 1-hexanol treated with butylmagnesium bromide : Which of the following compounds will yield 1-hexanol when treated with butylmagnesium bromide followed by acid workup? 1-hexanol

Construct a regrets table : Construct a regrets table. What decision should be made using minimax regret?

Which would be more of an issue in asian societies : Of the four conflicts that characterize teenagers, which would be more of an issue in Asian societies where conformity is highly valued.

User Account

All Pages