A Machine That Cost $72,000 Has an Estimated Residual Value

question 73

Multiple Choice

A machine that cost $72,000 has an estimated residual value of $6,000 and an estimated useful life of 5 years or 30,000 hours. Using the units-of-production method, the depreciation expense for the second year, during which the machine was used 5,000 hours, would be

• A) $14,400.
• B) $13,200.
• C) $12,000.
• D) $11,000.

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Definitions:

Cerebrospinal fluid

A clear, colorless body fluid found in the brain and spinal cord, acting as a cushion for the brain's cortex, providing basic mechanical and immunological protection to the brain inside the skull.

Arachnoid mater

A delicate membrane that is one of the three layers of the meninges, situated between the dura mater and the pia mater, enveloping the brain and spinal cord.

Interneurons

Structures found only in the central nervous system that link sensory and motor neurons together.

Efferent nerves

Nerves that carry signals away from the central nervous system to effectors like muscles and glands, facilitating action and response.