A Machine Purchased on 1 July 2019 Cost $100 000

question 3

Multiple Choice

A machine purchased on 1 July 2019 cost $100 000 and has a zero estimated salvage value. The useful life of the machine is five years. If the machine was sold on 30 September 2021, what would its net book value be?

• A) $45 000
• B) $50 000
• C) $55 000
• D) $60 000

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Definitions:

Competence

The ability of an individual to do a job properly, encompassing knowledge, skills, and experience.

Intrinsic Motivation

A type of motivation driven by an interest or enjoyment in the task itself, rather than external pressures or rewards.

Social Reinforcement

The process of encouraging or strengthening a particular behavior through positive feedback or rewards from others.

Sense of Purpose

The feeling of meaning and direction in one's life or activities.