Question 1 In 1990 Sandhill Company completed the constru ction of a building at

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Question 1 In 1990 Sandhill Company completed the constru ction of a building at a cost of $2 440 000 and first occupied t în the end of that time. anuary 1991 t was estimated that the building wil have a seu eor 40 years and a sa agev o ? 0 at emaining life of the building would be, as originally estimated, an additional 30 years, and that the addition would Early in 2001, an ?ddition to the building was constructed at a cost of $610,000. At that time it w as estimated that the have a life of 30 years and a salvage value of $24,400 In 2019, it is determined that the probable life of the building and addition will extend to the end of 2050, or 20 years beyond the original estimate. Your answer is correct. Using the straight-line method, compute the annual depreciation that would have been charged from 1991 through 2000. Annual depreciation from 1991 through 200059170 yr SHOW LIST OF ACCOUNTS SHOW ANSWER LINK TO TEXT LINK TO TEXT Attempts: 1 of 6 used Your answer is correct. Compute the annual depreciation that would have been charged from 2001 through 2018 Annual depreciation from 2001 through 2018 78690 yr SHOW LIST OF ACCOUNTS SHOW ANSWER LINK TO TEXT LINK TO TEXT Attempts: 1 of 6 used

Explanation / Answer

Building= 2440000-73200/40=59170

Additional building= 610000-24400/30=19520

Building= 2440000-(59170×29)=1256600

Additional Building = 610000-(19520×19)=239120

Building= 1256600-73200/31=20996

Additional building=239120-24400/31= 6926

Total depreciation to be charged beginning witb 2019= 27922

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