a teacher who brought a $2350 laptop for school use. The laptop is an allowable deduction with a rate of deduction of 33% p.s. pf the current value. How much can be claimed for: A- first year. B- second year. C- third year.

To calculate the deductions for the laptop over the three years, we will use the diminishing value method, where 33% of the current value is deducted each year.

### A. First Year:
Initial cost of the laptop = $2,350

First year deduction:
\[
\text{First year deduction} = 33\% \times 2350 = 0.33 \times 2350 = 775.50
\]
After the first year, the value of the laptop becomes:
\[
\text{Remaining value} = 2350 - 775.50 = 1574.50
\]

### B. Second Year:
The deduction is now 33% of the remaining value, which is $1,574.50.

Second year deduction:
\[
\text{Second year deduction} = 33\% \times 1574.50 = 0.33 \times 1574.50 = 519.59
\]
After the second year, the value of the laptop becomes:
\[
\text{Remaining value} = 1574.50 - 519.59 = 1054.91
\]

### C. Third Year:
The deduction for the third year will be 33% of the new remaining value, $1,054.91.

Third year deduction:
\[
\text{Third year deduction} = 33\% \times 1054.91 = 0.33 \times 1054.91 = 348.12
\]
After the third year, the value of the laptop becomes:
\[
\text{Remaining value} = 1054.91 - 348.12 = 706.79
\]

### Summary:
- **A. First Year Deduction**: $775.50
- **B. Second Year Deduction**: $519.59
- **C. Third Year Deduction**: $348.12

Would you like more details on the calculation process, or any clarifications?

Here are 5 questions you could explore based on this:
1. How would the deductions change if the rate was 25% instead of 33%?
2. What would the remaining value be after five years at a 33% deduction rate?
3. How does the diminishing value method differ from straight-line depreciation?
4. What happens if the laptop is sold after the second year? How does that affect deductions?
5. Can the entire $2,350 be deducted if it's considered an immediate expense?

**Tip**: When calculating deductions, always keep track of the remaining value to ensure the correct amount is deducted each year.

A teacher who brought a $2350 laptop for school use. The laptop is an allowable deduction with a rate of deduction of 33% per year of the current value. How much can be claimed for: A- first year. B- second year. C- third year.

Learn how to calculate the diminishing value depreciation of a $2350 laptop over three years with a 33% annual deduction rate. Detailed step-by-step solution for first, second, and third-year deductions. Perfect for high school students studying percentages and depreciation methods.

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