On January 1, 2006, Carson Company Purchased a New Machine

question 22

Multiple Choice

On January 1, 2006, Carson Company purchased a new machine for $2,100,000.The new machine has an estimated useful life of nine years and the salvage value was estimated to be $75,000.Depreciation was computed on the sum-of-the-years'-digits method.What amount should be shown in Carson's balance sheet at December 31, 2007, net of accumulated depreciation, for this machine?

• A)$1,695,000
• B)$1,335,000
• C)$1,306,666
• D)$1,244,250

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Definitions:

Stomach

A muscular organ in the digestive system that processes food by mixing it with digestive juices and enzymes.

Curvature

The degree of bend or deviation from straightness or flatness in a line, object, or surface.

Lingual Frenulum

A fold of mucous membrane located under the tongue, which assists in the mobility and positioning of the tongue.

Vestibule

A space or cavity at the entrance of some structures in the body, such as the mouth, ear, or nose.