Answer:
Book value= $690,000
Explanation:
Giving the following information:
Warren Company plans to depreciate a new building using the double declining-balance depreciation method. The building cost is $800,000. The estimated residual value of the building is $50,000 and it has an expected useful life of 25 years.
Annual depreciation= 2*[(original cost - residual value)/estimated life (years)]
Annual depreciation= [(800,000 - 50,000)/25]*2= $60,000
Book value= 750,000 - 60,000= 690,000
