Which asset will have annual straight-line depreciation

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A firm is considering purchasing two assets. Asset A will have a useful life of 10 years and cost $3 million; it will have installation costs of $400,000 but no salvage or residual value. Asset B will have a useful life of 4 years and cost $1.3 million; it will have installation costs of $180,000 and also have no residual value. Which asset will have a greater annual straight-line depreciation?

Reference no: EM13336096

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