Pearson Company Bought a Machine on January 1, 2014

question 231

Multiple Choice

Pearson Company bought a machine on January 1, 2014. The machine cost $144,000 and had an expected salvage value of $24,000. The life of the machine was estimated to be 5 years. The book value of the machine at the beginning of the third year would be

• A) $144,000.
• B) $120,000.
• C) $96,000.
• D) $48,000.

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Definitions:

Essential Skills

Fundamental abilities necessary for work, learning, and life, such as literacy, numeracy, and critical thinking.

Productivity

The efficiency of production of goods or services, measured by the output per unit of input.

Racial Harassment

Unwanted conduct related to a person's race or ethnicity that violates their dignity or creates an intimidating, hostile, degrading, humiliating, or offensive environment.

Employee-Centric

An organizational strategy that places the well-being and development of employees at the center of business priorities.