A Piece of Equipment Was Acquired on January 1,2009,at a Cost

question 86

Multiple Choice

A piece of equipment was acquired on January 1,2009,at a cost of $22,000,with an estimated residual value of $2,000 and an estimated useful life of four years.The company uses the double-declining-balance method.What is its book value at December 31,2010?

• A)$5,500
• B)$10,000
• C)$11,000
• D)$12,000

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Definitions:

Order Status Communication

The process of providing updates to customers about the progress and current status of their orders, from placement through to delivery.

Human Method

An approach that relies on human input, expertise, or interaction as part of a process or system.

Geo-Fencing

A location-based technology that uses small sensors to send messages to smartphone users who enter a nearby, defined geographic area.

Big Sale

A significant reduction in the prices of products or services, often for a limited period, to attract customers and increase sales volume.