If an Asset Was Purchased on January 1,2015 for $140,000

question 8

Multiple Choice

If an asset was purchased on January 1,2015 for $140,000 with an estimated life of 5 years,what is the accumulated depreciation at December 31,2018?

• A)$28,000.
• B)$112,000.
• C)$56,000.
• D)$84,000.

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Definitions:

Stock Price

The cost of purchasing a share of a company on the stock market at any given time.

Call Option

A financial contract that gives the buyer the right, but not the obligation, to purchase an asset at a specified price within a designated time period.

Dividend Paying

Describes stocks or securities that regularly distribute a portion of the issuing company's earnings to shareholders.

Strike Call

A term likely meant to be "Call Strike Price," which is the set price at which an option holder can buy an underlying asset.