On October 1, 2017, Hess Company Places a New Asset

question 27

Multiple Choice

On October 1, 2017, Hess Company places a new asset into service. The cost of the asset is $120,000 with an estimated 5-year life and $30,000 salvage value at the end of its useful life. What is the book value of the plant asset on the December 31, 2017, balance sheet assuming that Hess Company uses the double-declining-balance method of depreciation?

• A)$78,000.
• B)$90,000.
• C)$108,000.
• D)$114,000.

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Definitions:

Biodiversity

The variety of life in the world or in a particular habitat or ecosystem, encompassing genetic, species, and ecosystem diversity.

Tropical Rain Forests

Dense forests located in the tropics, characterized by high rainfall, significant biodiversity, and a canopy structure.

Conservation Biology

A multidisciplinary field that aims to protect and manage biodiversity and natural resources, focusing on conservation of species, habitats, and ecosystems.

Systematics

The branch of biology that deals with classification and naming of organisms.