a small business spent $120000 on electrical equipment which it depreciated by 35% p.a. what is the % decrease after 5 years
a small business spent $120000 on electrical equipment which it depreciated by 35% p.a. what is the % decrease after 5 years
The business depreciated by 1-(.65)^5=.8840% Over 5 years.
The value of the business after years=120,000 - (.8840 X 120,000)=13,923.49
a small business spent $120000 on electrical equipment which it depreciated by 35% p.a. what is the % decrease after 5 years
The business depreciated by 1-(.65)^5=.8840 Over 5 years.
The value of the business after years=120,000 - (.8840 X 120,000)=13,923.49
So, the percentage by which the business depreciated over 5 years is:
88.40%
