Equipment with a Cost of $103,000 Has a Useful Life

question 138

Multiple Choice

Equipment with a cost of $103,000 has a useful life of four years. Using straight-line amortization, what is the book value after three years?

• A)$77,250
• B)$103,000
• C)$25,750
• D)$51,500

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Definitions:

Transverse Mesocolon

Fold of peritoneum attaching the transverse colon to the posterior abdominal wall.

Mesentery

Double layer of peritoneum extending from the abdominal wall to the abdominal viscera, conveying to it its vessels and nerves.

Lactase

An enzyme produced in the small intestine that breaks down lactose, a sugar found in milk, into glucose and galactose.

Small Intestine

The segment of the digestive system located between the stomach and the large intestine, responsible for the majority of nutrient digestion and absorption.