The Battery of a Vehicle Has "Died" Three Days in a Row

question 54

Multiple Choice

The battery of a vehicle has "died" three days in a row. Each day the customer was able to start the car after he charged the battery. He was then able to drive the car 150 miles, but the next morning the battery was again discharged. A battery current drain test revealed a 10 mA drain. Technician A says the current drain is excessive and it could be the source of the problem. Technician B says that further testing is required, but it is possible that the battery may need to be replaced. Who is correct?

• A) Technician A only
• B) Technician B only
• C) Both Technician A and B
• D) Neither Technician A nor B

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Definitions:

Equipment

Tangible assets used in the operation of a business, such as machinery, computers, and tools.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset from the time it was put into service until a particular date.

Depreciation Expense

The systematic allocation of the cost of a tangible asset over its useful life, representing how much of the asset's value has been used up during a financial period.

Contra Asset

An account on a company’s balance sheet holding a balance that is opposite to the normal account balance, such as accumulated depreciation.