Lorenzo Corporation Purchased Equipment on January 1,2015 for $500,000

question 106

Multiple Choice

Lorenzo Corporation purchased equipment on January 1,2015 for $500,000.The equipment had an estimated useful life of 5 years and an estimated salvage value of $50,000.After using the equipment for 2 years,the company determined that the equipment could be used for an additional 6 years and have a salvage value of $9,000.Assuming Lorenzo Corporation uses straight-line depreciation,compute depreciation expense for the year ending December 31,2017.

• A)$45,000
• B)$48,500
• C)$51,833
• D)$53,333

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Definitions:

Initiation Norm

A social or cultural rule that governs how and when new activities or actions are begun within group or societal contexts.

Hazing Ritual

involves initiation processes, often involving harassment or abuse, used by certain groups to induct new members.

Ritualistic Interaction

Patterns of behavior in social interactions that are formal, repetitive, and symbolically significant.

Compassionate Love

Feelings, cognitions, and behaviors that are focused on caring, concern, tenderness, and an orientation toward supporting, helping, and understanding the other.