January 1, 2005. The equipment originally cost $820,000 and
has an estimated useful life of eight years. Stable uses the
straight-line method of depreciation. What is the gain/loss on
the sale of equipment that Stable will recognize if the
equipment was sold for $230,000?
$230,000 Gain
$25,000 Loss
$25,000 Gain
$73,750 Gain
. $0; no gain or loss
Question 17. Question :
Cardco Inc. has an annual
accounting period which ends on December 31. During the
current year a depreciable asset which cost $42,000 was
purchased on September 2. The asset has a $4,000 estimated
salvage va lue. The company uses straight-line depreciation
and expects the asset to have a 5 year life. What is the total
depreciation expense for the current year?
$1,900.00
$7,600.00
$2,533.33
$2,800.00