Questions -
Question 1 - A pressurized spray painter was purchased on April 1 of the fiscal year for $3,900. It has a useful life of 4 years, and a residual value of $300.
Determine depreciation expense for year one using the double-declining-balance method.
$3900.00
$1462.50
$2437.50
$1500.00
Question 2 - A pressurized spray painter was purchased on April 1 of the fiscal year for $3,900. It has a useful life of 4 years, and a residual value of $300.
Determine depreciation expense for year two using the double-declining-balance method.
$1218.75
$3900
$2437.50
$1500.00
Question 3 - A pressurized spray painter was purchased on April 1 of the fiscal year for $3,900. It has a useful life of 4 years, and a residual value of $300.
Determine depreciation expense for two using the straight-line method.
$300
$3900
$600
$900
Question 4 - A pressurized spray painter was purchased on April 1 of the fiscal year for $3,900. It has a useful life of 4 years, and a residual value of $300.
Determine depreciation expense for year one using the straight-line method.
$300
$3900
$600
$675
Question 5 - A pressurized spray painter was purchased on April 1 of the fiscal year for $3,900. It has a useful life of 4 years, and a residual value of $300.
If the equipment is sold at the end of year one for $3225, what will be the gain or loss on the sale,assuming that the company used the straight line method of depreciation.
$1000
$100
$2225
$0