Clayton,Inc

question 158

Multiple Choice

Clayton,Inc.purchased a van on January 1,2016,for $830,000.Estimated life of the van was five years,and its estimated residual value was $90,000.Clayton uses the straight-line method of depreciation.At the beginning of 2018,the company revised the total estimated life of the asset from five years to four years.The estimated residual value remained the same as estimated earlier.Calculate the depreciation expense for 2018.

• A)$267,000
• B)$222,000
• C)$111,000
• D)$133,500

---

Definitions:

Schwann Cell

Glial cell in the PNS that myelinates sensory and motor axons.

Purkinje Cell

Distinctively shaped interneuron found in the cerebellum.

Interneuron

An interneuron is a type of neuron that transmits signals between sensory and motor neurons, playing a critical role in reflexes and neuronal circuits.

Sensory Neurons

Neurons responsible for converting external stimuli from the environment into internal electrical impulses for the brain to interpret as sensations.