Mitchell Corporation Bought Equipment on January 1, 2014

question 79

Multiple Choice

Mitchell Corporation bought equipment on January 1, 2014. The equipment cost $180,000 and had an expected salvage value of $30,000. The life of the equipment was estimated to be 6 years. The depreciation expense using the straight-line method of depreciation is

• A) $35,000.
• B) $36,000.
• C) $25,000.
• D) none of these answer choices are correct.

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Definitions:

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