Computing depreciation
Go to http://www.dell.com (Links to an external site.)Links to an external site.
. Find the price of a computer system that you would like to buy. Assume you bought this system for business use and the system has a residual value of $400. Compute the depreciation each year under a 5-year straight-line depreciation. Also, calculate the depreciation using MACRS (Tables 17.4 and 17.5 in the text).
Discussion Questions