On June 1,Michael Company Purchased Equipment at a Cost of $120,000

question 71

Multiple Choice

On June 1,Michael Company purchased equipment at a cost of $120,000 that has a depreciable cost of $90,000 and an estimated useful life of 3 years or 30,000 hours. Using straight-line depreciation,calculate depreciation expense for the second year.

• A)$17,500
• B)$12,500
• C)$30,000
• D)$40,000

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Definitions:

Nonverbal Cues

Communication without words, including gestures, facial expressions, body language, and tone of voice, which convey information.

High-Context Cultures

Cultures that communicate in ways that are implicit and rely heavily on context, such as nonverbal cues and the physical setting, to convey meaning.

Informal Network

A set of personal relationships, contacts, and connections within or across organizations that are not officially sanctioned.

Explicit Messages

Direct and clear communication where the meaning is fully stated and leaves little room for confusion or interpretation.