Question: Calculate depreciations and show these in the income statement and balance sheet for year 20x5 From the balance sheet at December 31, 20x4:
Land 200
Buildings 500
Less: Accumulated Depreciation -200
Equipment 400
Less: Accumulated Depreciation -160
The company depreciates equipment with the straight-line method. The equipment's useful life is only 10 years and with zero residual value. In early July 20x5 the company purchased additional equipment for $100.