Hahn Cotakes a Full Year's Depreciation Expense in the Year of of an Asset's

question 63

Multiple Choice

Hahn Co.takes a full year's depreciation expense in the year of an asset's acquisition and no depreciation expense in the year of disposition.Data relating to one of Hahn's depreciable assets at December 31, 2011 are as follows: Using the same depreciation method as used in 2009, 2010, and 2011, how much depreciation expense should Hahn record in 2012 for this asset?

• A)$16,000
• B)$24,000
• C)$28,000
• D)$32,000

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Definitions:

Partner's Equity

The interest or ownership a partner has in a partnership, representing their claim on the assets after liabilities are settled.

Owner's Equity

The residual interest in the assets of a company after deducting liabilities, representing the owner's claim on the company's resources.

Capital Account

An account showing the net worth of a business at a specific point in time, including the owner's investment and retained earnings.

Capital Balance

The amount of money or value of assets contributed by owners or partners to a business, reflecting their equity in the business.