Brevard Corporation Purchased a Taxicab on January 1, 2016 for $34,000

question 185

Multiple Choice

Brevard Corporation purchased a taxicab on January 1, 2016 for $34,000 to use for its shuttle business. The cab is expected to have a five-year useful life and no salvage value. During 2017, it retouched the cab's paint at a cost of $1,600, replaced the transmission for $4,000 (which extended its life by an additional 2 years) , and tuned-up the engine for $200. If Brevard Corporation uses straight-line depreciation, what annual depreciation will Brevard report for 2017?

• A)$6,800.
• B)$5,200.
• C)$5,500.
• D)$5,467.

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Definitions:

MAC Addresses

Distinct identifiers allocated to network interfaces for communication purposes at the data link layer within a network segment.

IP Addresses

Numerical labels assigned to each device connected to a computer network that uses the Internet Protocol for communication, serving as a network address.

Crosstalk Interference

A disturbance caused by the electromagnetic fields of one telecommunication signal affecting another, leading to degraded communication quality.

Twisted-Pair Wire

A type of wiring where two conductors are twisted together to cancel out electromagnetic interference from external sources and improve connection quality.