1533Civil EngineeringMedium
ABC Corporation makes it a policy that for any new equipment purchased, the annual depreciation cost should not exceed 20% of the first cost at any time with no salvage value. Determine the length of service life necessary if the depreciation used is the SYD method?
A10 years
B9 years
C7 eyars
D8 years
Correct answer
B. 9 years
Explanation
The correct answer is 9 years.