Learning Team Week #4 Assignment

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You will start a New Thread and Label it “Team A Week # 4 Learning Assignment Complete”. Working with Real Data: Depreciation
• Complete the following in your team meeting:
o Complete parts a & b from the Group Activity at the end of section 14.3 in Ch. 14 of the text. o Discuss any concept that a team member is having a difficult time understanding. o Examine the importance and applicability of this week’s concepts to each team member and to society in general. o Plan and work on team assignments or projects.

• Post your team’s solutions from this exercise to the Main forum. Briefly describe how this activity applied to the weekly concepts. • Post a 150- to 200- word summary to the Main forum from your team’s examination and discussion of the weekly concepts. Update the class on any concept the team had difficulty understanding and what the team did to help each member understand the concept. Include the team’s discussion on the importance of the weekly concepts, and how they can be applied to each team member and society in general. • Prepare to update your instructor on your team’s progress on Learning Team assignments.

a) The Straight-Line
2800/4 = 700
The arithmetic sequence: 700, 700, 700, 700
4(2800)/10 = 1120 , 3(2800)/10 = 840 , 2(2800)/10 = 560 , 1(2800)/10 = 280 Arithmetic sequence: 1120, 840, 560, 280
The value of the computer drops $2800 in 4 years (from $3000 to $200). So in turn using the straight-line method this is $700 per year since 2800/4 = 700. The sequence of depreciation amounts is listed in the depreciation amounts, or 700, 700, 700, 700. The series is adding all the depreciation amounts, 700+700+700+700.

(b) Straight-Line depreciation: 700 + 700 + 700 + 700
Sum-of-the-years'-digits depreciation: 1120 + 840 + 560 + 280

You can guess or estimate a first-year depreciation of (4/10) of $2800, or $1120. Then the second year depreciation could be (3/10)(2800) = $840, next would be the third year = (2/10)2800 = $560, fourth...
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