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useful life
user-3353 - 09/7/2018, 2:05 am

Springle has the right to buy the computer at the end of Year 4, so why calculate the depreciation expense will use 5 years, not 4 years?

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Ian - 09/9/2018, 5:32 am

For exactly that reason. It is reasonable that he will exercise that BPO and have the computer for its full 5-year life, making 5 years the reasonable depreciation life.

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Mohd-3057 - 10/13/2018, 6:32 pm

Springle has the right to buy the computers

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