A Plant Asset Has a Cost of $32,000 and a Salvage

question 93

Multiple Choice

A plant asset has a cost of $32,000 and a salvage value of $8,000. The asset has a three-year life. If depreciation in the third year amounted to $4,000, which depreciation method was used?

• A) Straight-line
• B) Declining-balance
• C) Sum-of-the-years'-digits
• D) Cannot tell from information given

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Definitions:

Extemporaneous

Speaking or performing with little or no preparation, often in a spontaneous and fluid manner.

Appeal To Misplaced Authority

An argumentative fallacy where someone attempts to support a claim by citing an authority or witness who is not an expert on the issue at hand.

Putting Skills

Techniques and abilities related to successfully completing putting strokes in golf.

Red Herring

A fallacy or distraction that leads away from the main issue or argument, often used to mislead or divert attention.