A manufacturing company purchased production line equipment

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January 13th, 2018

A manufacturing company purchased production line equipment on March 1, 2013. The total price for the equipment was $30,000. Management believes that the equipment has a useful life of 5 years, and after use, the equipment will have no residual value. Management decides to depreciate the equipment using the straight-line depreciation method and calculates the depreciation expense on a monthly basis. What is the book value of the equipment on December 31, 2014?The answer is $19,000.00, will you show the work?

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