In: Finance
The Apple Company purchased a new office computer and other depreciable computer hardware for $12,000. During the third year, the computer is declared obsolete and is donated to the local community college. Assume that no salvage was initially declared and that the machine was expected to last 5 years.
Compute the PW of the depreciation charges for each
method using an interest rate of 10%. Summarize all the information
in a table and interpret the results.
Help me. Thanks!
The Apple Company purchased a new office computer and
other depreciable computer hardware for $12,000. During the third
year, the computer is declared obsolete and is donated to the local
community college. Assume that no salvage was initially declared
and that the machine was expected to last 5 years.
Required:
1. Prepare a table with the depreciation schedules and book values
for each method: a. Straight-line depreciation
b. Double declining balance depreciation
c. 100% bonus depreciation
d. MACRS depreciation.
2- Compute the PW of the depreciation charges for each method using an interest rate of 10%. Summarize all the information in a table and interpret the results
Important: You must use Excel only to do this homework
(tables, graphs, PW, etc.) and demonstrate the use of financial
functions to compute the depreciation schedules a, b, d.
Please use Exel only, its required. Help me please!!! Thanks a
lot!!!