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Use the following information to answer this question. Acquisition cost of computers

Use the following information to answer this question.

Acquisition cost of computers – Le 80,000

Installation cost – Le 20,000

Estimated residual value – Le 4,000

Estimated useful life – 5 years.

The depreciable value of computers is

  • A. Le 80,000
  • B. Le 96,000
  • C. Le 100,000
  • D. Le 104,000
Correct Answer: Option B
Explanation

80,000 + 20,000 = 100,000

100,000 – 4000 = 96,000