Answer:
2012: $950,000
2025: $625,000
Explanation:
Since the scrap value is $0, the amount depreciated each year is equal to the initial worth of the building divided by the number of years, so
[tex]\frac{1,000,000}{40}=25,000[/tex]It means that each year the worth of the building decreases by $25,000
Then, 2012 is 2 years after 2010, so the book value of the building in 2012 is:
$1,000,000 - 2($25,000) = $950,000
In the same way, 2025 is 15 years after 2010, so the book value is
$1,000,000 - 15($25,000) = $625,000
Therefore, the answers are
2012: $950,000
2025: $625,000
