I understand that straight line depreciation method is cost minus salvage divided by years and that double declining depreciation is multiplying the decreasing book value 2 times but i cannot figure out units of activity and I need help (an explanation in english so I can understand).
(See attached file for full problem description)© BrainMass Inc. brainmass.com June 3, 2020, 6:12 pm ad1c9bdddf
1. In straight line, we find the depreciable value ( this is cost-salvage value) and divide it by the number of years to get the depreciation per year.
2. In declining balance, we get the depreciation rate by dividing 100 by the useful life. In ...
The solution explains how to calculate the depreciation on buses using various depreciation methods.