Newco Publishing Company Purchased Equipment at the Beginning of 2016

question 100

Multiple Choice

Newco Publishing Company purchased equipment at the beginning of 2016 for $200,000.The company decided to depreciate the equipment over an 8-year period using the straight-line method.The company estimated the equipment's residual value at $20,000.The journal entry to record depreciation expense for 2016 will

• A) increase Depreciation Expense and increase Accumulated Depreciation for $25,000.
• B) increase Accumulated Depreciation and decrease Equipment for $25,000.
• C) increase Depreciation Expense and decrease Equipment for $22,500.
• D) increase Depreciation Expense and increase Accumulated Depreciation for $22,500.

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Definitions:

Humanistic Theorists

Psychologists and researchers who emphasize individual potential and stress the importance of growth and self-actualization.

Personality

The characteristic set of behaviors, cognitions, and emotional patterns that evolve from biological and environmental factors.

Sociocultural Theorists

Experts who examine how cultural context influences individual behavior, beliefs, and development, focusing on the role of social interaction and cultural norms.

Eros

In Freudian psychology, the life instinct innate in all humans that drives individuals to seek pleasure and create life.