An apartment building has a land value set at $30,000. the investor recently bought the property for $150,000. assuming an economic life for the improvement to be 35 years, using the straight-line approach, what would be the value of the property after 14 years?

$102,000

Step-by-step explanation:

Given:

Set land value = $30,000

Buying cost of the property = $150,000

Now,

The Improvement Value = Buying cost - Land value

or

The Improvement Value = $150,000 - $30,000 = $120,000

Now,

Depreciation per year =

or

Depreciation per year =

or

Depreciation per year = $3,428.57

Therefore,

The depreciated over 14 years = $3,428.57 × 14 yrs = $48,000

Hence,

the value of property after 14 years will be

= $150,000 - $48,000

= $102,000

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step-by-step explanation: