SOLUTION: a company just purchased a new machine for $1,200,000. The company choose to depreciate the machine using the straight-line method over 20 years. A. find a function that expre

Question 882744: a company just purchased a new machine for $1,200,000. The company choose to depreciate the machine using the straight-line method over 20 years.
A. find a function that expresses the book value V of the machine as a
function of the age x.
B. What is the book value after three years?
C. when will the book value of the machine be $480,000?
Answer by ewatrrr(24785) (Show Source): You can put this solution on YOUR website!

 

Hi,



A. V = 1,200,000 - 60,000x  (straight-line method over 20 years)

B. v(3) = 1,200,000 - 180,000

C. 48000 = 1,200,000 - 60,000x 

     60,000x = 720,000

           x = 12, After 12 years, book value of the machine be $480,000

 

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