Wong Industries is depreciating the value of its machinery over a thirty-year life. Its original value was $1,000,000 and it is assumed to have a scrap value of $100,000. After 20 years, it is decided that the machinery still has another 20 years of life but it will then be worth nothing. Find a piecewise linear function that describes the broken-straight-line depreciation that the company is using.Please explain how you came up with your answer! Thanks
Since it originally had a lifespan of 30 years, it will lose $900,000 in 30 years, or $30,000 per year. V(t)=1,000,000 -30000t for the first 20 years. It's lost $600,000 in value and still is worth $400,000, but this will all go away after another 20 years or $20,000 per year... V(t)=400,000-20,000t for t between 20 and 40 years. I'll leave it to you to format this correctly :)
