Straight-Line Depreciation Is an Accounting Method Used to Help Spread

question 170

Multiple Choice

Straight-line depreciation is an accounting method used to help spread the cost of new equipment over a number of years. It takes into account both the cost when new and the salvage value, which is the value of the equipment at the time it gets replaced. The function where V is value and t is time in years, can be used to find the value of a large copy machine during the first 7 years of use. After how many years will the copier be worth only $6,000? Round your answer to the nearest hundredth.

• A) 4.62 years
• B) 7.00 years
• C) 5.59 years
• D) 6.12 years
• E) 6.93 years

---

Definitions:

Framing Information

The way information is presented or communicated, which can influence perception and decision-making.

Healthful Concept

A healthful concept pertains to ideas or practices that promote physical, mental, and emotional well-being.

Representativeness Heuristic

A cognitive bias in decision making where the likelihood of an event is estimated based on how closely it resembles the typical case.

Thinking Strategy

Techniques or methods applied to solve problems, make decisions, or generate creative ideas more effectively.