Use the Information Below to Answer the Following Questions

question 42

Multiple Choice

Use the information below to answer the following questions:
Creep Ltd purchased a machine for $100 000 on 1 January 2010. It has an estimated useful life of 5 years. Creep Ltd’s financial period ends on 31 December. The machine was depreciated using the reducing balance method at 60%.
-Squires Ltd purchased equipment for $90 000 on 1 July 2011.It had an estimated life of 200 000 units.The machine was depreciated using the units of production method.The financial period of Squires Ltd ends on 30 June.The estimated number of kilometers travelled was 26,000.What was the depreciation expense for year ended 30 June 2012?

• A) $35 100
• B) $11 700
• C) $23 400
• D) $11 000.

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Definitions:

Simple Language

The use of clear, straightforward, and uncomplicated vocabulary and sentence structures.

Shared Beliefs

Values or opinions held in common by a group of people, which often form the basis of collective action or culture.

Evidence

Information or facts that are used to support a claim or argument in various contexts, such as legal, scientific, or academic.

Psychographic Data

Information that describes the attitudes, aspirations, and other psychological criteria of a particular demographic.