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Suncoast Food Centers has provided the following information with regard to the purchase of equipment....

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Accounting

Suncoast Food Centers has provided the following information with regard to the purchase of equipment.

Acquisition cost of equipment $ 500,000
Useful life 5 years
Salvage value at end of useful life 0
Annual income generated by asset (before deducting depreciation) $ 150,000

The following is the accelerated depreciation schedule of the equipment.

Year Depreciation
1 $ 200,000
2 120,000
3 72,000
4 54,000
5 54,000
Total $ 500,000
equired:

Using the information provided above, complete the table given below. If there is a loss, leave the ROI column blank.

Year Income Before Depreciation Annual Depreciation Income Net of Depreciation Average Net Book Value ROI Based on Net Book Value Average Gross Book Value ROI Based on Gross Book Value
1 $150,000 % %
2 150,000 % %
3 150,000 % %
4 150,000 % %
5 150,000 % %

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