using the macrs rates from the following table, what is the book value of a $3,000 computer after 3…

using the macrs rates from the following table, what is the book value of a $3,000 computer after 3 years?\n| year | macrs rate |\n| ---- | ---- |\n| 1 | 20.0% |\n| 2 | 32.0% |\n| 3 | 19.2% |\n| 4 | 11.52% |\n| 5 | 11.52% |\n| 6 | 5.76% |\nbook value = $?\nround to the nearest cent.

using the macrs rates from the following table, what is the book value of a $3,000 computer after 3 years?\n| year | macrs rate |\n| ---- | ---- |\n| 1 | 20.0% |\n| 2 | 32.0% |\n| 3 | 19.2% |\n| 4 | 11.52% |\n| 5 | 11.52% |\n| 6 | 5.76% |\nbook value = $?\nround to the nearest cent.

Answer

Explanation:

Step 1: Calculate total depreciation rate for 3 years

Sum the first 3 MACRS rates: (20.0% + 32.0% + 19.2% = 71.2%)

Step 2: Determine remaining book value percentage

Subtract total depreciation rate from 100%: (100% - 71.2% = 28.8%)

Step 3: Compute book value

Multiply initial value by remaining percentage: ($3,000 \times 28.8% = $864.00)

Answer:

$864.00