SOLUTION: An office building worth $1 million when completed in 1997 was depreciated linearly over 50 years. What was the book value of the building in 2012? What will be the book value in 2

Algebra ->  Coordinate Systems and Linear Equations  -> Linear Equations and Systems Word Problems -> SOLUTION: An office building worth $1 million when completed in 1997 was depreciated linearly over 50 years. What was the book value of the building in 2012? What will be the book value in 2      Log On


   

Question 1125065: An office building worth $1 million when completed in 1997 was depreciated linearly over 50 years. What was the book value of the building in 2012? What will be the book value in 2016?
Answer by Boreal(15235) About Me  (Show Source):
You can put this solution on YOUR website!
50 years with $1million depreciation linearly is $20,000 per year.
Fifteen years later, it has been depreciated $300,000 and is worth $700,000
Four years after that, it is worth $80,000 less or $620,000