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Financial Maths, STD2 F4 2012 HSC 16 MC

A machine was bought for $25 000.

Which graph best represents the salvage value of the machine over 10 years using the declining balance method of depreciation?

(A)     (B)  
         
(C)        (D)
Show Answers Only

`A`

Show Worked Solution

`text(By Elimination)`

`B\ \ text(and)\ \ D\ \ text(represent straight line depreciation.)`

`C\ \ text(incorrectly has no salvage value after 10 years)`

`=>A`

Filed Under: Depreciation, Depreciation - Declining Balance (Std 1), Depreciation - Declining Balance (Std 2), Depreciation / Running costs Tagged With: Band 4, num-title-ct-coreb, num-title-qs-hsc, smc-1139-60-Depreciation Graphs, smc-4335-50-Graphs, smc-813-60-Depreciation Graphs

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