Mohr Company Purchases a Machine at the Beginning of the Year

question 154

Multiple Choice

Mohr Company purchases a machine at the beginning of the year at a cost of $24,000. The machine is depreciated using the straight-line method. The machine's useful life is estimated to be 5 years with a $4,000 salvage value.
-Depreciation expense in year 2 is:

• A) $4,800.
• B) $20,000.
• C) $9,600.
• D) $0.
• E) $4,000.