Zenith Corporation Bought a Machine on January 1,2014

question 57

Multiple Choice

Zenith Corporation bought a machine on January 1,2014.In purchasing the machine,the company paid $40,000 cash and signed an interest-bearing note for $105,000.The estimated useful life of the machine is five years,after which time the salvage value is expected to be $10,000.Given this information,how much depreciation expense would be recorded for the year ending December 31,2015,if the company uses the sum-of-the-years'-digits depreciation method?

• A) $45,000
• B) $36,000
• C) $40,000
• D) $34,000

---

Definitions:

Catharsis

The process of releasing and thereby providing relief from strong or repressed emotions.

Altruism

The selfless concern for the well-being of others, often leading to acts of kindness without expectation of reward.

Black Friday

An annual event in the United States and increasingly worldwide, known as a major shopping day with significant discounts, following Thanksgiving Day.

Emotions

Complex psychological states that involve physiological arousal, expressive behaviors, and conscious experience.