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missmtl
Apr 25, 2008, 06:40 PM
cost of rental equipment is $486,902, accum. amortization is $418,713, net book value for 2006 is $68,169 and 2005 is $74,018. Amortization of rental equipment for the year amounted to $22,205 (2005 - $14,379). i need to calculate the cost for year 2007, the accum. amort. for 2007 and net book value for 2007.

The declining balance rate is 30%. Any additions to rental equipment in the current year are amortized at one-half of the above rates.



YEAR 2006 :
NET BOOK VALUE
RENTAL EQUIPMENT COST ACCUM. AMORTIZATION 2006 2005
486,902 $418,713 $68,169 $74,018
Amortization of rental equipment for the year amounted to $22,205 (2005 - $14,379).


YEAR 2005 :
NET BOOK VALUE
RENTAL EQUIPMENT COST ACCUM. AMORTIZATION 2005 2004
470,526 $396,508 $74,01 $55,397

Amortization of rental equipment for the year amounted to $14,379 (2004 - $17,398).