An organization purchased a piece of equipment for N112,000. It is expected to be used for 6 years then sold for N16,000. What is the annual amount of depreciation, if the straight-line method is used?
-
N16,000
- N15,000
- N12,800
- N12,000
The correct answer is: A
Explanation
\(\frac{112,000 - 16,000}{6}\)
= 16,000