Hi im stuck with this,
if a building cost 250,000
has a straightling depreciation rate of 2.5% per year
What is the residual value? How do i work it out?
Straight Line Depreciation Method
Solve for Salvage value. Asset is 250000. Depreciation Charge is (250000)(.025) = 6250. All you need is n, and you are ready to go.