NK Corporation bought equipment on January 1, 2030. The equipment costed $207,950 and had an expected...

Transcribed Image Text:

NK Corporation bought equipment on January 1, 2030. The equipment costed $207,950 and had an expected salvage value of $13,000. The life of the equipment was estimated to be 7 years. Assuming straight-line depreciation, what is the book value of the equipment at the beginning of the fourth year? (Hint: How much is your equipment worth at the beginning of Year 4? Think of how you would normally calculate the net book value of the equipment. What you paid for equipment minus how much it has been depreciated up to Year 3 is how you would calculate the book value at the beginning of the third year.) $194,950 Incorrect. Read 11.3 - Explain and Apply Depreciation Methods to Allocate Capitalized Costs. Make sure to calculate the straight-line depreciation expense and accumulated depreciation. Then, calculate the net book value of the asset. $124,400 $181956 $4207.950 $129.968 A plant asset costed $284,800 and is estimated to have a $32,000 salvage value at the end of its 8-year useful life. What would be the annual depreciation expense recorded for the second year using the double-declining-balance method? O $53.400 $71.200 O $63,200 O$35,600 $31,600 NK Corporation bought equipment on January 1, 2030. The equipment costed $207,950 and had an expected salvage value of $13,000. The life of the equipment was estimated to be 7 years. Assuming straight-line depreciation, what is the book value of the equipment at the beginning of the fourth year? (Hint: How much is your equipment worth at the beginning of Year 4? Think of how you would normally calculate the net book value of the equipment. What you paid for equipment minus how much it has been depreciated up to Year 3 is how you would calculate the book value at the beginning of the third year.) $194,950 Incorrect. Read 11.3 - Explain and Apply Depreciation Methods to Allocate Capitalized Costs. Make sure to calculate the straight-line depreciation expense and accumulated depreciation. Then, calculate the net book value of the asset. $124,400 $181956 $4207.950 $129.968 A plant asset costed $284,800 and is estimated to have a $32,000 salvage value at the end of its 8-year useful life. What would be the annual depreciation expense recorded for the second year using the double-declining-balance method? O $53.400 $71.200 O $63,200 O$35,600 $31,600

Answer rating: 100% (QA)

1 124400 Depreciation in straight line method cost of equipmentsalvage value ... View the full answer