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:

Securities

Assets that denote a share in the equity of a corporation available on the public market (stock), a lending agreement with a government or corporate body (bond), or ownership claims evidenced by an option.

New York Federal Reserve Bank

One of the 12 regional Reserve Banks in the Federal Reserve System, playing a key role in monetary policy, financial supervision, and the payment system.

Federal Advisory Council

A group of individuals who provide advice and support to a central governing body, such as the Federal Reserve in the United States, on matters of economic policy.

Expansionary Monetary Policy

Monetary policy measures, such as lowering interest rates and increasing money supply, used by central banks to stimulate economic growth.