select the correct answer. roxy knows that she can deduct the depreciation expense of her ice - cream…

select the correct answer. roxy knows that she can deduct the depreciation expense of her ice - cream delivery truck from her taxes over the trucks useful life of 7 years. she can depreciate $2,100 per year. if she paid $19,000 to buy the truck, what is its salvage value? a. $16,900 b. $8,500 c. $4,300 d. $3,400 reset next

select the correct answer. roxy knows that she can deduct the depreciation expense of her ice - cream delivery truck from her taxes over the trucks useful life of 7 years. she can depreciate $2,100 per year. if she paid $19,000 to buy the truck, what is its salvage value? a. $16,900 b. $8,500 c. $4,300 d. $3,400 reset next

Answer

Explanation:

Step1: Calculate total depreciation

The annual - depreciation is $2100$ and the useful life is $7$ years. So the total depreciation is the product of the annual depreciation and the number of years. $2100\times7 = 14700$

Step2: Calculate salvage value

The salvage value is the original cost minus the total depreciation. The original cost of the truck is $19000$. $19000−14700 = 4300$

Answer:

C. $4,300$