document.write( "Question 905337: A machine costs $8,000 and will have a useful life of 4 years and has a scrap
\n" ); document.write( "value of $3200. \r
\n" ); document.write( "\n" ); document.write( " Assuming straight line depreciation, write an equation to give the book value
\n" ); document.write( "of the machine after n number of years
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Algebra.Com's Answer #549136 by Theo(13342)\"\" \"About 
You can put this solution on YOUR website!
the formula for straight line depreciation is:\r
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\n" ); document.write( "\n" ); document.write( "(cost minus scrap value) / number of years.\r
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\n" ); document.write( "\n" ); document.write( "Your depreciation calculation is therefore:\r
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\n" ); document.write( "\n" ); document.write( "annual depreciation = (8,000 - 3,200) / 4 = 4,800 / 4 = 1,200 per year.\r
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\n" ); document.write( "\n" ); document.write( "at the end of n years, the book value will be original cost minus depreciation * number of years.\r
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\n" ); document.write( "\n" ); document.write( "this can be shown as b = o - d*n
\n" ); document.write( "b = book value
\n" ); document.write( "o = original value
\n" ); document.write( "d = depreciation per year
\n" ); document.write( "n = number ofyears\r
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\n" ); document.write( "\n" ); document.write( "at the end of year 0 = 8,000 ***** = original price of vehicle.
\n" ); document.write( "at the end of year 1 = 6,800
\n" ); document.write( "at the end of year 2 = 5,600
\n" ); document.write( "at the end of year 3 = 4,400
\n" ); document.write( "at the end of year 4 = 3,200 ***** = scrap value of vehicle.\r
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