When Originally Purchased,a Vehicle Costing $23,000 Had an Estimated Useful

question 75

Multiple Choice

When originally purchased,a vehicle costing $23,000 had an estimated useful life of 8 years and an estimated salvage value of $3,000.After 4 years of straight-line depreciation,the asset's total estimated useful life was revised from 8 years to 6 years and there was no change in the estimated salvage value.The depreciation expense in year 5 equals:

• A)$5,000.
• B)$2,875.
• C)$5,750.
• D)$11,500.
• E)$2,500.

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Definitions:

Hmos

Health Maintenance Organizations; a type of health insurance plan that provides managed care for a fixed fee, emphasizing prevention and efficiency in healthcare service.

Health Coverage

Refers to the extent of financial protection and access to health services a person has through insurance or other means.

Employees

Individuals who are hired by a business or an individual to perform work in exchange for compensation.

High Tech Cures

Refers to advanced medical treatments and diagnostics that utilize cutting-edge technology and research.