Ask Question, Ask an Expert


Ask Accounting Basics Expert

1.  Pine Company bought a depreciable asset for $360,000. Estimated salvage value is $24,000, and estimated useful life is 8 years. Double-declining balance method will be used for depreciation. Compute depreciation expense for the second year on this asset?

a. $42,000

b. $63,000

c. $67,500

d. $90,000

2. On July 1, 2006, Rodriguez Corporation bought factory equipment for $150,000. Salvage value was evaluated to be $4,000. Equipment will be depreciated over ten years by using double-declining balance method. Counting the year of acquisition as one-half year, Gonzalez must record depreciation expense for 2007 on this equipment of

a. $30,000.

b. $27,000.

c. $26,280.

d. $24,000.

3. Norris Corporation bought factory equipment which was installed and put into service January 2, 2006, at total cost of $60,000. Salvage value was evaluated at $4,000. Equipment is being depreciated over four years by using double-declining balance method. For year 2007, Norris must record depreciation expense on this equipment of

a. $14,000.

b. $15,000.

c. $28,000.

d. $30,000.

4. On April 13, 2006, Foley Co. bought machinery for $120,000. Salvage value was evaluated to be $5,000. Machinery will be depreciated over ten years by using double-declining balance method. If depreciation is find outd on the basis of nearest full month, Foley must record depreciation expense for 2007 on this machinery of:

a. $20,800.

b. $20,400.

c. $20,550.

d. $20,933.

5. On January 1, 2000, Barnes Company bought equipment at cost of $50,000. Equipment was evaluated to have a salvage value of $5,000 and it is being depreciated over eight years under sum-of-the-years'-digits method. What must be the charge for depreciation of this equipment for year ended December 31, 2007?

a. $1,250

b. $1,389

c. $2,500

d. $5,625

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M922554

Have any Question? 

Related Questions in Accounting Basics

Course project portfolio of international accounting

Course Project: Portfolio of International Accounting Findings Throughout your course work, you explored topics such as cost and revaluation models of accounting, revenue recognition, assets and liabilities, translation ...

Flint hills companys most recent financial statements

Flint Hills Company's most recent financial statements showed dismal performance. There was a net loss of $10,000 and the Statement of Cash Flows showed a net cash decrease in all categories. The company president called ...

Task -question 1 - saasu task 1you are working as an

Task - Question 1 - Saasu Task 1 You are working as an accountant in a regional accounting firm and have been approached by the owner of a start-up retail business. They have chosen Saasu as their accounting system and h ...

1 if a bartender can somehow accumulate extra liquor and

1. If a bartender can somehow accumulate extra liquor, and does not register the extra drinks, which of these activities could be spotted by the analytical methods we studied? A. The bartender steals the extra liquor B. ...

Brief exercise 17-3carow corporation purchased as a

Brief Exercise 17-3 Carow Corporation purchased, as a held-to-maturity investment, $70,500 of the 10%, 7-year bonds of Harrison, Inc. for $77,947, which provides a 8% return. The bonds pay interest semiannually. Prepare ...

Internet case-citizen-centric reportingalthough citizens

Internet Case-Citizen-Centric Reporting Although citizens should be concerned about the performance of government, in truth, few citizens typically review the financial information provided by their government. In part, ...

Ace lawn care module - mini practice problemjim graham

Ace Lawn Care Module - Mini Practice Problem Jim Graham started his career mowing lawns for neighbors while he was in junior high school. Jim worked summers for the local golf course while he was in high school and now t ...

Intercompany debt both long term and short term arises

Intercompany debt, both long term and short term, arises frequently. In some cases, intercorporate borrowings may arise because one affiliate can borrow at a cheaper rate than others, and lending to other affiliates may ...

Accounting questionfollowing the completion of the

Accounting Question: Following the completion of the investigation of a potential fraud case, you are informed by your manager that the case will be brought to trial. As part of the litigation process you will be asked t ...

Comprehensive problem differential apportionmentmortar

Comprehensive Problem: Differential Apportionment Mortar Corporation acquired 80 percent ownership of Granite Company on January 1, 20x7, for $173,000. At that date, the fair value of the non-controlling interest was $43 ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro