Macroeconomics 11th Edition by Michael Parkin

Exercise 33

On January 1, 2011, Terry's Towing Service owned 4 tow trucks valued at $300,000. During 2011, Terry's bought 2 new trucks for a total of $180,000. At the end of 2011, the market value of all of the firm's trucks was $400,000. What was Terry's gross investmentCalculate Terry's depreciation and net investment.