Deirdre's Business Purchased Two Assets During the Current Year

question 33

Multiple Choice

Deirdre's business purchased two assets during the current year.It placed in service computer equipment (5-year property) on January 20 with a basis of $15,000 and machinery (7-year property) on October 1 with a basis of $15,000.Calculate the maximum depreciation expense,rounded to a whole number (ignoring §179 and bonus depreciation) :

• A)$1,286
• B)$5,144
• C)$5,786
• D)$6,000
• E)None of these

Calculate and report revenue from redeemable instruments like gift certificates.

Execute and understand the purpose of closing entries in preparing financial statements.

Convert cash basis accounting records to accrual basis.

Understand the effects of revenue and expenses on owners' equity.

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Definitions:

Individual Symbols

Unique graphical representations or icons used on technical drawings to convey specific information or instructions.

CSA

Canadian Standards Association, an organization that develops standards in various industries, including electrical, mechanical, and energy management.

Canadian Standards Association

A not-for-profit organization that develops standards for a wide range of products and processes in Canada.

Diameter

The length of a straight line passing through the center of a circle to touch both ends of the perimeter.