in 2022, campbell, a single taxpayer, has $95,000 of profits (net of the deduction for self-employment taxes, the self-employed health insurance deduction, and the deduction for contributions to qualified self-employment retirement plans) from her general store, which she operates as a sole proprietorship. she has no employees, $40,000 of qualified property, and $50,000 of taxable income before the deduction for qualified business income. how much is campbell's deduction for qualified business income?

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Answer 1

in 2022, Campbell, a single taxpayer, has $95,000 of profits (net of the deduction for self-employment taxes, The sum of $10,000 ought to represent Campbell's deduction for revenue from recognized business activities.

This is further explained below.

What is Campbell's deduction for qualified business income?

Generally, There are two requirements to compute the deduction for eligible business income, which are outlined below:

Take the bare minimum of 20% of her general store's income

Where, Profits of $95,000, with taxable income of $50,000.

Now, apply these values to the circumstances listed above.

So,Profits would be equal to $95,000 x 20% = $19,000

Furthermore, taxable income is $50,000 x 20% = $10,000.

The bare minimum is $10,000. As a result, the deduction should be limited to $10,000 rather than $19,000.

As a result, Campbell's deduction for eligible business income should be $10,000.

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Related Questions

ashburn company issued 16-year bonds two years ago at a coupon rate of 8.5 percent. the bonds make semiannual payments. if these bonds currently sell for 109 percent of par value, what is the ytm?

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Ashburn company issued 16-year bonds two years ago at a coupon rate of 8.5 percent. the bonds make semiannual payments. the YTM is 7.44%

What is the YTM?

Generally, the given parameters are

Future value = 100

present value = 109

Coupon,= 0.085 * 100

Coupon,= 8.5

Maturity  14 years

Therefore

YTM = [C + (FV-PV)/n] / (FV+PV)/2

Where

Future value is FV

present value PV

[tex]YTM= [8.5 + (100 - 109)/14] / (100+109)/2[/tex]

YTM = 0.0744

In conclusion, the YTM is 7.44%

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the information age is a period in history where the production, distribution, and control of information is the primary driver of the economy. group of answer choices true false

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The production, dissemination, and regulation of information serve as the main economic drivers of the information age.According to Bell's Law, a new computer class emerges roughly every ten years, creating a new industry.

What is the meaning of the Information Age?The Information Age is a time period in history that started in the middle of the 20th century and was marked by a quick transition from the traditional industries created by the Industrial Revolution to an economy predominately centered on information technology. The "information era," a time in human history marked by the transition from industrial production to one centered on information and computerization. The reason this time in history is known as the Information Age is because it allows for rapid access to knowledge that would have previously been difficult or impossible to find. The production, dissemination, and regulation of information serve as the main economic drivers of the information age.According to Bell's Law, a new computer class emerges roughly every ten years, creating a new industry.

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Which of these stores uses a fulfillment center? A: 7-11 B: Dunkin' Donuts C: Amazon D: Comet Dry Cleaner

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The store which uses a fulfillment center is: C. Amazon.

What is supply chain management?

Supply chain management can be defined as an effective and efficient management of the supply or flow of goods and services, as well as all of the production processes that are involved in the transformation of raw materials into finished products, in order to meet the insatiable want and need of the consumers on a timely basis.

This ultimately implies that, the supply chain management (SCM) simply refers to a strategic process which encompasses all of the activities that are associated with planning, innovation, execution, frequent communications, and supply of finished goods and services to the consumers on a timely basis.

What is a fulfillment center?

A fulfillment center is also referred to as a packaging warehouse and it can be defined as a portion of the supply chain which primarily serves as the central hub for all logistics processes that are required to get a product (good) from the seller to the consumer (buyer).

In conclusion, Amazon is a typical example of a store that makes use of a fulfillment center.

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What is the name of the industry that is capable of manufacturing all sorts of electronics items for different companies like sony, apple, microsoft, and blackberry?.

Answers

EMS: Electronic manufacturing services is the name of the industry that is capable of manufacturing all sorts of electronics items for different companies.

What exactly is an electronic manufacturing company?

Electronic manufacturing services image result

Electronics manufacturing services (EMS) are provided by businesses that design, test, build, deliver, or provide aftermarket support for electronic components and assemblies. A steady, specialist hand guiding you through the production process can help your product stand out from the crowd.

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in which company would you rather invest? multiple choice question. a company with low gross profit percentage and low sales volume a company with high gross profit percentage and high sales volume a company with low gross profit percentage and high cost of goods sold

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In companies I like to invest in is a low percentage of gross profit and high cost of goods sold.

Investment is the activity of placing capital in the form of money or other valuable assets into an object, institution, or party with the hope that the investor or investor will benefit after a certain period of time. Because of the hope of getting profits in the future, this investment is also known as investment. The term investment itself comes from the Italian word, investee which means to use or use. Generally, funds or assets invested by an investor will be developed by the agency or party that manages it. The profits from the development will be distributed to investors as a return in accordance with the provisions between the two parties.

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how much did rodriguez company have in expenses for the year? assets, january 1 $ liabilities, january 1 assets, december 31 liabilities, december 31 issuance of stock revenues expenses dividends

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Costs incurred in the regular course of business are referred to as business expenses. They can be used by both big and small businesses. The income statement includes expenses related to the business. A company's taxable net income is calculated by deducting business expenses from revenue on the income statement.

What is the price of the resources used or the services used?The price of the goods or services used to generate income are known as expenses. Salaries, rent, utilities, taxes, and other costs are examples of common expenses. SO 6 Describe the accounting equation and its elements.All balance sheet assets that can be converted into cash in a year or less are added together to create the formula for current assets. Cash and its equivalents are the main current assets.How are expenses determined? Costs overall =  Net Revenue - Net Income.How to Locate the Balance Sheet's Total ExpensesOn the bottom side of the balance sheet, look for the "Liabilities" area.To locate the company's current expenses, look at the first line under "Accounts payable and accumulated expenses."

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if an economy is currently in short-run equilibrium where the level of real gdp is greater than potential output, then in the long run, one will find:

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In the long run, an economy that is currently in short-run equilibrium, where real GDP is greater than potential output, will: The economy will return to its potential real GDP if nominal wages rise and the SRAS curve moves left.

When the economy is in short-term equilibrium, what happens?

An economy is in short-run harmony when the total measure of result requested is equivalent to the total measure of result provided.

In the short term, what happens to the price level and real GDP?

The Short-Run Aggregate Supply Curve (SRAS) The SRAS curve indicates that an economy's real GDP will rise as the price level rises and you move along the SRAS.

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sparks furniture company carries three lines of sofas. information about the sofa inventory as of the end of its most recent fiscal year follows. if lcm/nrv is applied to each separate product line, what is the amount of the adjustment that must be made to the company's inventory? product line cost per unit market value per unit quantity rustic $ 700 $ 725 190 mediterranean 600 605 300 contemporary 950 820 275

Answers

The adjustment that is required that must be made to the inventory of the company is $35,750

How to solve for the adjustment

The acronym LCM is used to refer to what means the lower of cost or market value.

We can see that the two given as rustic and Mediterranean have a lower cost compared to the market value. There would be no adjustment required for this.

The contemporary cost is what would have to be passed. We would have the following:

difference between cost and the market value of the contemporary

= 950 - 820

= 130

The quantity is 275.

The amount of adjustment would be 275 * 130

= 35750

 

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gravity is a successful and popular ice cream parlor in the community. it sells a variety of soft-serve and hard ice cream flavors. its main competitor, dairy twist, is also popular. in addition to offering its customers a robust menu of soft-serve and hard ice cream flavors, it offers a menu of local seafood snacks, which customers love. if gravity were to research whether to add similar food items to its menu, what should it do first?

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The first thing that Gravity must do is Market research to acquire the right kind of data to decide whether Gravity should expand its menu or whether customers want them.

Market research is a systematic attempt to collect as much information as possible about target market segments and consumers, beginning with knowing who they are. Market research is a crucial component of the company's strategy and a critical part in keeping competitiveness. The requirements of the marketing, the market structure, market segments and the rivalry are all identified and investigated with the assistance of market research. Its techniques include both subjective ones, like focus group discussions, in-depth conversations, and ethnography, and statistical ones, such questionnaires and secondary research.

Gravity must do detailed market research to understand whether there is need to add extended menu or not.

The complete question is here:

gravity is a successful and popular ice cream parlor in the community. it sells a variety of soft-serve and hard ice cream flavors. its main competitor, dairy twist, is also popular. in addition to offering its customers a robust menu of soft-serve and hard ice cream flavors, it offers a menu of local seafood snacks, which customers love. if gravity were to research whether to add similar food items to its menu, what should it do first?

(a) Come up with a plan to uncover whether to add food items to its menu or whether its loyal customers want these items.

(b) Analyze primary research data to inform whether Gravity should expand its menu or not.

(c) Acquire the right kind of data whether Gravity should expand its menu or whether customers want them.

(d) Come up with actions steps for Gravity to expand its menu.

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suppose that the united states is a large country. in fall 2009, the united states imposed tariffs on tires imported from china. the deadweight losses of these tariffs were larger than the terms-of-trade gains to the u.s. economy. who was better off and who was worse off as a result of these tariffs?

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U.S. tire producers were more accepting of U.S. customers and Chinese tire producers were more threatened.

What is Deadweight losses?The difference in production and consumption of any given product or service, including government tax, is referred to as deadweight loss in economics. When the quantity produced relative to the amount consumed differs from the optimal concentration of surplus, the presence of deadweight loss is most commonly identified. A deadweight loss is a societal cost caused by market inefficiency, which occurs when supply and demand are not in balance. Deadweight loss, which is most commonly used in economics, can be applied to any deficiency caused by inefficient resource allocation. A deadweight loss is an economic inefficiency caused by a supply-demand imbalance.

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one year a country has negative net exports. the next year it still has negative net exports and imports have risen more than exports. a. its trade deficit fell. b. its trade deficit rose. c. its trade surplus fell. d. its trade surplus rose.

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One year a country has negative net exports. the next year it still has negative net exports and imports have risen more than exports. its trade surplus rose.

The positive and negative predictive values ​​(PPV and NPV, respectively) are the percentage of positive and negative results in statistical and diagnostic tests that are true positives and true negatives, respectively. [1] PPV and NPV describe the performance of a diagnostic test or another statistical measure.

A high result can be interpreted as an indication of the accuracy of such statistics. PPV and NPV are not test-specific (as opposed to true positive and true negative rates). It also depends on prevalence [2]. Both PPV and NPV can be derived using Bayes' theorem.

Sometimes used interchangeably, positive predictive value usually refers to that found by a control group, and post-test probability refers to individual probability.

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software systems that assist managers in solving problems by demonstrating how results may vary when assumptions or data are altered are known as .

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Software systems that assist managers in solving problems by demonstrating how results may vary when assumptions or data are altered are known as Decision support systems.

What are Software systems?The software system consists of several separate computer programs and related configuration files, documentation, etc. that work together with managers . Managers concept is used when studying large and complex software because it focuses on the major components of software and their interactions.Software systems is software designed to provide a platform for other software. Examples of software systems include operating systems (OS) such as macOS, Linux, Android, and Microsoft Windows, computational science software, game engines, search engines, industrial automation, and software-as-a-service applications. The system has his three basic kinds of software: application programs, device drivers and operating system.Software system is a type of computer program designed to run computer hardware and application programs.

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a firm is producing 10,000 units of output at a total cost of $5,000. if the firm increases output by 5,000 units and its total costs rise by $2,000, the firm has:

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A company spends $5,000 to produce 10,000 units of product. The company has economies of scale if its total costs grow by $2,000 while its output rises by 5,000 units.

What is Economies of scale?

The cost advantages that firms have due to their size of operation are known as economies of scale, and they are frequently measured by the amount of goods produced per unit of time. Scale can be increased when production costs per unit fall. The level of market domination based on economies of scale may be due to organizational, technological, statistical, or related factors. This is merely a basic introduction to the topic.

A production line, a plant, or an entire company are just a few examples of organizational and commercial settings and levels where economies of scale are applicable. When output increases and average costs start to fall, economies of scale are created.

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if you were to run a sports team, what would be your financial and customer metrics? explain why you chose the metrics you choose. do they compete with or help each other? if you are not familiar with a sport, feel free to use the baseball example from moneyball.

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Financial measures make economic data sets' qualities visible that might not be obvious from a single glance at the statistics.

Each financial measure offers a distinct message about a body of economic data, and they all deal with economic data. Profitability, account receivable aging, and days sales outstanding are some examples of financial measures (which tells how many days, on average , it takes to receive payment from the invoice date)

Non-financial measures can give insight into an organization's impact on stakeholders and society as well as act as leading indicators of future financial performance. Non-financial measures can be used to determine what changed in order to enhance and why specific financial results occurred. Non-financial criteria include, for instance, a company's reputation, competitiveness, and innovation and customer influence and value.

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all the following are reasons to invest, EXCEPT

Answers

Answer:

B

Explanation:

16. xylem technologies purchased a trademark from phloem semiconductor for $5 million. how should this new purchase be classified on the balance sheet for xylem? a non-current intangible liability a non-current intangible asset a current intangible asset it should not be recognized as the trademark has no tangible value.

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For $5 million, xylem Technologies acquired a trademark from phloem Semiconductor. On xylem's balance sheet, this new acquisition can be categorized as a current intangible asset. Intangible assets often have a lifespan of longer than a year. These assets are not categorized as current assets as a result.

An asset that is not physical in nature is said to be intangible. Intangible assets include goodwill, brand awareness, and intellectual property like patents, trademarks, and copyrights. Contrasting with tangible assets like real estate, automobiles, machinery, and stock are intangible assets.

Intangible assets lack physical substance, are non-financial, and can be separated. These resources might be created domestically or bought from other companies. Certain requirements must be met if the intangible asset is developed internally by the organization.

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the relationship of specific procurement actions to the corporate strategy is the group of answer choices a. project procurement strategy b. corporate procurement strategy c. corporate culture d. none of the above

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Corporate procurement strategy is the way in which specific procurement actions relate to the overall corporate strategy.

What is a procurement strategy ?

The phrase "procurement" in business refers to the process of acquiring or buying significant quantities of goods or services. How a company should handle its purchase process is described in a procurement strategy. This gives a comprehensive overview of all the procurement process steps and serves as a guide for how a company should carry out its procurement activity.

A framework for a procurement strategy aids firms in selecting suppliers, goods or services, as well as the techniques and protocols they will employ while interacting with vendors.

An efficient procurement strategy must include:

a strategy statement, which outlines the goals of your strategy, intended results, a timetable, deadlines you must fulfill, a tactical plan, which details how your strategy will be put into action, and key performance indicators These are business metrics used to gauge the effectiveness of the procurement process.

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if a country raises its budget deficit, then its a. net capital outflow falls and net exports rise. b. net capital outflow and net exports rise. c. net capital outflow and net exports fall. d. net capital outflow rises and net exports fall.

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If a country raises its budget deficit, then its net capital outflow and net exports fall.

What is budget deficit?

When spending surpass income, a deficit budget is said to have occurred, and it is a sign of sound finances. This phrase is typically used by the government to refer to its expenditures instead of things or people. The national debt is made up of accumulated government deficits.

A budget deficit may result in increased borrowing, greater interest costs, and insufficient reinvestment, all of which reduce revenue for the next year. A budget surplus is the polar opposite of a budget deficit.

Naturally, a stronger exchange rate makes it more challenging for exporters to sell their products overseas while lowering the cost of imports, leading to a trade deficit—or a smaller trade surplus—as a result. A trade deficit, a stronger currency, and an inflow of foreign financial capital are all likely outcomes of a budget deficit.

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Bob decides to quit his job as a teacher in which he makes $50.000 to open a restaurant. The explicit cost of running his restaurant is $500.000 while the revenue go his business is 525,000. What is his accounting profit or loss? What is his economic profit or loss? What is the implicit cost in this example?

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The accounting profit is $25,000.

The economic loss is $-25,000.

The implicit cost is the income Bob earned as a teacher.

What is the implicit cost, economic loss and accounting profit?

Accounting profit is the difference between the explicit cost and the revenue of running a business. Explicit costs are the costs that are actually incurred in the course of a running a business. Examples of explicit costs are rent, wages.

Accounting profit = revenue - explicit cost

$525,000 - $500,000 = $25,000

Economic profit is the difference between accounting profit and implicit cost. Implicit cost is the opportunity that is forgone when one option is chosen over other alternatives. The implicit cost in this question is the income of Bob as a teacher.

Economic profit = accounting profit - implicit cost

$25,000 - $50,000 = $-25,000

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a guilderian trader buys a 150 flop barrel of florish pickles by exchanging 15 gulps, and a florish trader buys a 8 gulp crate of guilderian apples by exchanging 80 flops. then the gulp appreciates to 25 flops per gulp. what price must the guilderian pay for the same 150 flop barrel of pickles? gulps how much must the florish trader pay for the same 8 gulp crate of apples? flops

Answers

The guilderian would need to pay 375 flops for the 150 flop barrel of pickles. The florish trader would need to pay 200 flops for the 8 gulp crate of apples.

What is trader?
A trader is an individual who buys and sells financial instruments such as stocks, bonds, commodities, and currencies. The function is comparable to that of a brokerage, except that traders normally operate on their own behalf, whereas brokers act on behalf of their clients.

Traders are the most obvious human emblems of the capital markets, particularly those who operate on the increasingly scarce face-to-face trading floors. No market turbulence news item is complete without images of traders gesticulating furiously or looking at computer screens.

The primary distinction between traders is the length of time they retain their possessions. Traders tend to profit from short trends and price swings, whilst investors are recognised for keeping their investments for a lengthier length of time.

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if werner company's variable expenses are 55% of sales, and at a $400,000 sales level, the degree of operating leverage is 5. if sales increase by $30,000, the new degree of operating leverage will be (rounded):

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The new degree of operating leverage will be 3.91.

What is leverage?Using borrowed money (debt) to finance an asset acquisition  in the hope that the income from the new asset or capital gains will exceed the cost of borrowing is called financial leverage. This concept summarizes the definition of leverage. Leverage is the amount of debt a company has in its debt equity combination. A company with more debt than the industry average  is considered highly leveraged. People use leverage when they borrow money to buy assets or with the hope of growing their money in the future. For example, if you take out a loan to invest in your side business, investing in your side business can help you make more money than if you didn't pursue the business at all.

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steven manley buys cake mix for $5, bakes a delicious german chocolate cake, sells it to a market down the street for $22, and then the market sells it for $38. how much value did steven manley add? no dollar sign needed.

Answers

Steven Manley added the value of 17.

What is value added?

A product with value-added feature is one that is marketable but has been given extra benefits that raise its value over the cost of its component raw ingredients. It could be improved to be more practical, appealing, tasty, or simple to use than its original components.

Businesses are able to sell their products or services for more than it costs to manufacture them because they add value.

In marketing, the additional value is a brief explanation to the customer of the qualities that provide a product more value than its component parts and, more significantly, why it is better than products from other companies.

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a sales contract that requires the seller to send the goods to the buyer but not to a specifically named destination is known as a(n) . group of answer choices

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A sales contract that requires the seller to send the goods to the buyer but not to a specifically named destination is known as a shipment contract.

Define a shipment contract.

A shipment contract is a sort of contract that requires the seller of a good to entrust the goods to a carrier or transporter rather than delivering them directly to the customer. A seller commits to deliver products to a customer through a shipment contract, also known as a freight contract or a shipment agreement.

The seller will be responsible for any damage to the transported items up until they arrive at the point of shipping in addition to the "shipment" requirements. To put it another way, a shipment contract is an agreement that is both legally valid and enforceable between a buyer and a seller of goods who is then compelled to ship the products to the buyer.

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widgets, inc., plans to produce 8,000 widgets during the upcoming year. each widget requires four direct labor hours at $25 per hour and $110 in direct material costs. manufacturing overhead is assigned based on direct labor hours and is estimated to be $625,000 for the upcoming year. compute the predetermined overhead rate per direct labor hour.

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The predetermined overhead rate per direct labor hour is $19.53.

Predetermined overhead rate:

Direct labor hours= 4×8,000

Direct labor hours= 32,000 hours

Predetermined overhead rate=Estimated overhead costs/Direct labor hours

Predetermined overhead rate=$625,000/32,000

Predetermined overhead rate=$19.53 per direct labor hour

Inconclusion the predetermined overhead rate per direct labor hour is:$19.53.

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in 2018, montpelier inc. issued a $100 par value preferred stock that pays a 9 percent annual dividend. due to changes in the overall economy and in the company's financial condition, investors are now requiring a 10 percent return. what price would you be willing to pay for a share of the preferred if you receive your first dividend one year from now?

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$90  would you be willing to pay for a share of the preferred if you receive your first dividend one year from now.

Dividend =Par value preferred stock × Annual dividend percentage

Dividend=$100 par value ×9%

Dividend=$9

Price = Dividend ÷ Return percentage

price =  $9÷10%

Price = $90

What is dividend and how its work?

A dividend is a portion of a company's profits that is given as either stock or cash to shareholders; it is often paid on a quarterly basis as a gift to investors. The declaration of a company's intention to pay a dividend on a specific date is as good as a promise, unlike the share price, which might fluctuate from day to day.

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consumerism is associated with . multiple select question. advertising that associated products with particular lifestyles rather than just giving facts about a product the decline of radio as a medium a lack of advertising, because people were buying in great numbers without the need for ads silent films, which kept the movie industry unpopular and made radio more powerful the rise of

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Consumerism is associated with  advertising that associates products with particular lifestyles rather than just giving facts about a product

The tendency to continuously consume is known as consumerism. It is the need to acquire more possessions and establish one's identity via them. Consumer spending and GDP growth are seen as benefits of consumerism by economists.

Consumerism is a type of social and economic order and ideology that promotes acquiring things and services in ever-increasing quantities. One example of consumerism is buying a different car for each day of the week.

A significant economic and social organizing factor is consumerism. It is a crucial factor that affects building production, and much of it can only be understood by looking at how it relates to consumption. The degree to which different types of building products are related to consumption varies.

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modeling real life you have $25 to purchase apps on your cell phone. each app that you want costs $3.99. describe the numbers of apps you can purchase.

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6 apps .

There are a total of six apps available for purchase.

Explain unitary method?The unitary method is the method in which we first find the value of one unit and then the value of the required number of units.The unitary method  technique for solving problems that involves first determining the value of a single unit and then multiplying that value by the required value.

Here it is given that :

Total amount = $25.

Per app costs =  $3.99.

As a result, a large number of apps can be purchased.

= 25/3.99

= 6.2656

= 6 apps .

As a result, six apps are available for purchase.

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10.on a warm summer day, kimberly tells her brother to put on a suit. kimberly's brother knows to put on a swimsuit instead of a business suit because of

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Kimberly's brother knows to put on a swimsuit instead of a business suit because of context.

What is the context?Context refers to the circumstances that make up an event, business, or idea so that it can be fully understood and appreciated in relation to it.Context means a set of words or events.If you're upset about what your partner called your worst enemy, remind her that the context of those comments is her opposite day.It comes from the Latin word for how something is done.Context tells the recipient the importance to give something, what assumptions to make (or not) to make about what is being conveyed, and most importantly, to give meaning to the message.Contextual communication is defined as the two-way transfer of business between two parties in which both parties are aware of the relational, environmental, and cultural context of the exchange.Simply put, this means that all involved entities know what the business is about.

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consider a risk-free asset with a return of 4% and a risky asset with an expected return of 12% and volatility of 16%. what is the volatility of a portfolio made up of these two assets with expected return 10%?

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The only factor that determines an asset's expected return is its systematic risk. systematic portion is important when figuring out that asset's expected return and risk premium.

How is risk return calculated?

Keep in mind that the risk-to-reward ratio is determined by dividing your net profit—the reward—by the cost of your maximum risk. If your stock increased to $29 per share, as in the XYZ scenario above, you would receive $4 for each of your 20 shares, making a total of $80.Given that you paid $500 for it, divide 80 by 500 to get 0.16.

How is expected market return calculated?

After totaling these results, the probability of a given outcome being realized is multiplied by the potential return. Returns that are expected cannot be guaranteed. The weighted average of the expected returns of all of the investments in a portfolio determines the expected return.

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Apex fitness club uses straight-line depreciation for a machine costing $28,800, with an estimated four-year life and a $2,300 salvage value. at the beginning of the third year, apex determines that the machine has three more years of remaining useful life, after which it will have an estimated $1,850 salvage value.

Answers

The book value of the asset at the end of the second year is $15,550.

The depreciation for each of the final three years is $4,566.67.

What is the book value and the depreciation?

Straight line depreciation method is a method that is used to depreciate the value of an asset. The value of the asset is depreciated linearly over the useful life of the asset.

Depreciation expense = (cost of the asset - salvage value) / useful life

(28,800 - $2,300) / 4 = $6,625

Book value is the cost of the asset less its accumulated depreciation

Book value = cost of the asset - accumulated depreciation

Accumulated depreciation = yearly depreciation expense x number of years

$6,625 x 2 = $13,250

Book value = $28,800- $13,250 = $15,550

Depreciation expense using the revised estimate = ($15,550 -  $1,850) / 3 = $4,566.67

Here is the complete question:

Compute (1) the machine’s book value at the end of its second year and (2) the amount of depreciation for each of the final three years given the revised estimates.

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