An Asset Was Purchased for $120,000 on January 1, 2010

question 102

Multiple Choice

An asset was purchased for $120,000 on January 1, 2010 and originally estimated to have a useful life of 10 years with a residual value of $10,000. At the beginning of 2012, it was determined that the remaining useful life of the asset was only 4 years with a residual value of $2,000. Calculate the 2012 depreciation expense using the revised amounts and straight line method.

• A) $25,000
• B) $11,000
• C) $24,000
• D) $24,500

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Definitions:

Effective Teams

Groups of individuals working together in a cohesive manner towards a common goal, characterized by clear communication, collaboration, and mutual respect.

Self-managing Teams

Groups of employees who are responsible for managing and controlling all or most aspects of their own work.

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Groups of employees who manage their own work and processes without direct supervision, often responsible for making business decisions related to their activities.

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The degree to which the expectations and needs of members within an organization or group are met or exceeded.