3. The equipment costing $80,000 has useful life of 5 years and its estimated
salvage value is $14,000. Depreciation is provided using the straight line
depreciation method.
an 31Depreciation Expense 1,100
Accumulated Depreciation 1,100
Depreciation Expense = ($80,000 - $14,000) \div (5 \times 12) = $1,100