year life. What is the total depreciation expense for the current
year?
$4,000
$3,000
$3,500
$2,625
$875
Question 16. Question :
On December 31, 2010, Stable
Company sold a piece of equipment that was purchased on
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