If Equipment Cost $20,000 and Accumulated Depreciation Amounts to $6,000

question 88

Multiple Choice

If equipment cost $20,000 and accumulated depreciation amounts to $6,000, the book value of the equipment is

• A)$26,000.
• B)$6,000.
• C)$14,000.
• D)$20,000.
• E)none of these.

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Definitions:

State Income Tax

A tax imposed by a state on the income of its residents and on income earned within the state by nonresidents.

Sales Taxes

Taxes imposed on sales of goods and services, typically calculated as a percentage of the selling price.

Tax Revenue

The financial income governments receive through taxing.

Administrative Burden

The costs associated with regulatory compliance, paperwork, and other bureaucratic procedures that organizations must bear.