Depreciation Function and Slope Concepts

The video tutorial explains how a company depreciates a bulldozer linearly over 19 years, starting from a purchase price of $13,400 to a salvage value of $1,850. It covers the concept of depreciation, the formulation of a linear function to express the bulldozer's value over time, and the calculation of depreciation per year. The tutorial also demonstrates how to calculate the bulldozer's value after 17 years using the derived linear equation.

What is the initial cost of the bulldozer purchased by the company?

• $1,850

• $13,400

• $19,800

• $4,400

What is the salvage value of the bulldozer after 19 years?

• $13,400

• $1,850

• $4,400

• $19,800

In the function V(T) = b + mT, what does 'm' represent?

• Salvage value

• Initial cost

• Rate of depreciation

• Age of the bulldozer

What is the initial value 'b' in the depreciation function?

• $4,400

• $19,800

• $1,850

• $13,400

How is the slope 'm' calculated in the context of depreciation?

• Change in years divided by change in value

• Initial cost minus salvage value

• Change in value divided by change in years

• Salvage value minus initial cost

What is the slope 'm' in the depreciation function for the bulldozer?

• $13,400

• $1,850

• $19,800

• $4,400

What is the correct form of the depreciation function derived in the video?

• V(T) = 13450 - 4400T

• V(T) = 13450 + 4400T

• V(T) = 4400T - 13450

• V(T) = 4400 - 13450T

After how many years is the value of the bulldozer calculated in Part B?

• 17 years

• 15 years

• 18 years

• 16 years

What is the value of the bulldozer after 17 years?

• $4,400

• $1,850

• $13,450

• $28,650

What is the annual depreciation amount for the bulldozer?

• $19,800

• $4,400

• $1,850

• $13,400