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In: Accountingreen Garden Company purchased a tractor at a cost of $240,000 onJanuary 1, 2015. The...reen Garden Company purchased a tractor at a cost of $240,000 onJanuary 1, 2015. The tractorhas an estimated residual value of $40,000 and an estimated lifeof 8 years. At the end of two yearsof service, Green Garden Co. reevaluated the tractor’s usefullife. Management extended the usefullife an additional four years, but estimated that the tractorwould have no residual value at the end ofthis time.If the company uses straight-line depreciation, what amountwould be recorded as the depreciationexpense each year, beginning with the third year?
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