The depreciable value of computers is?

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.

A. Le 80,000
B. Le 96,000
C. Le 100,000
D. Le 104,000

Correct Answer: Option B

B. Le 96,000

Explanation

80,000 + 20,000 = 100,000

100,000 – 4000 = 96,000