METHODS FOR COMPUTING BOOK DEPRECIATION

DEFINE THE FIVE (5) METHODS FOR COMPUTING BOOK DEPRECIATION

As the Practice Manager, you are tasked with explaining the depreciation methods to Dr. Smith and Dr. Brown. Write an explanation of each method in your own words.  

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  1. Straight Line Depreciation: Include what is meant by salvage value.

 

  1. Accelerated Book Depreciation: Sum of Years’ Digits Method.

 

  1. Accelerated Book Depreciation: Double Declining Balance Method

 

  1. Accelerated Book Depreciation: 150% Declining Balance Method.

 

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