Depreciation and Depletion Problems

A machine that was purchased for $47,000 has an estimated useful life of seven years and a scrap value of $5,000. Use the straight line method to find the depreciation charge per year, then build a table to show the net book value each year over the life of the machine. Make the table similar to that of problem 1 (insert rows below to fit).

	Cost:
	Scrap:
Amount to depreciate:
Divided by 7 years:
	Year	Beginning net book value	Depreciation charge	Ending net book value
	1	47000	(6,000)
	2		(6,000)
	3		(6,000)
	4		(6,000)
	5		(6,000)
	6		(6,000)
	7		(6,000)