The Sayonara Corporation Purchased a Notebook Computer for $3,000 on December

question 1

Multiple Choice

The Sayonara Corporation purchased a notebook computer for $3,000 on December 1.The useful life of the notebook computer is estimated to be 5 years.If financial statements are to be prepared on December 31, the company should make the following adjusting entry:

• A)debit Depreciation Expense, $600; credit Accumulated Depreciation, $600.
• B)debit Depreciation Expense, $50; credit Accumulated Depreciation, $50.
• C)debit Depreciation Expense, $2,400; credit Accumulated Depreciation, $2,400.
• D)debit Office Equipment, $50; credit Accumulated Depreciation, $50.

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Definitions:

Total Revenue

The total amount of money received by a company from selling its goods or services before any costs or expenses are deducted.

Upsloping Line

In economics, represents a graph where the value or quantity increases as another variable increases, often seen in supply curves.

ATC Curves

Graphs that depict the average total costs of production at different levels of output, illustrating economies or diseconomies of scale.

Purely Competitive

A market structure characterized by a large number of sellers offering identical products, where no single seller can influence market prices.