For depreciation purposes a 150 declining balance


Question: For depreciation purposes, a 150% declining balance depreciation is used for a material handling lift truck with a cost basis of $42,668 and a salvage value of $6250 at the end of its useful life of 5 years. If the MACRS depreciation method with a 3-year recovery period is used for tax purposes, determine the difference between the annual depreciation after 2 years calculated from both depreciation methods.

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Accounting Basics: For depreciation purposes a 150 declining balance
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