On January 10, 2010, Maxim Corporation Acquired Equipment for $124,000

question 148

Multiple Choice

On January 10, 2010, Maxim Corporation acquired equipment for $124,000. The estimated life of the equipment is 3 years or 24,000 hours. The estimated residual value is $10,000. What is the balance of Accumulated Depreciation on December 31, 2011, if Baldwin Corporation uses the asset 5,500 hours in 2010 and 4,500 hours in 2011?

• A)$76,000
• B)$61,218
• C)$52,083
• D)$47,500

---

Definitions:

Exclusionary Rule

A legal principle in the United States that prevents evidence collected or analyzed in violation of the defendant's constitutional rights from being used in a court of law.

Probable Cause

A reasonable basis for believing that a crime may have been committed, which is a standard used in law to justify searches, arrests, and issuing warrants.

Warrantless Searches

Searches conducted by law enforcement without a warrant, permitted under certain conditions by law.

Consensual Searches

Searches conducted by law enforcement with the explicit consent of the individual being searched, without the need for a warrant.