Straight Line and Reducing Balance Methods of Depreciation

Annual depreciation= ₦16, 000 x 0.1= ₦1, 600 More Examples The cost of a machine is 10,000 and the residual value is 4000 it is expected to last for 4 years use a straight line method to prepare the depreciation on the asset 10,000-40000/4=1500 Depreciation schedule Years Cost of Asset Depreciation Rate Accumulated 1 10,000…