4. If a fixed asset, such as a computer, were purchased on January 1st for $3,750 with an

estimated life of 3 years and a salvage or residual value of $150, the journal entry for

monthly expense under straight-line depreciation is:

(Note: EOM indicates the last day of each month.)

a. EOM Depreciation Expense 100

Accumulated Depreciation 100

b. EOM Depreciation Expense 1,200

Accumulated Depreciation 1,200

c. EOM Accumulated Depreciation 1,200

Depreciation Expense 1,200

d. EOM Accumulated Depreciation 100

Depreciation Expense 100