Please select correct answer.. and write why the answer is correct.

8.

In January Year 1, Colonial Company purchased equipment for $120,000 to be used in its manufacturing operations. The equipment was estimated to have a useful life of 8 years, with salvage value estimated at $12,000. Colonial considered various methods of depreciation and selected the sum-of-the-years-digit method. On December 31, Year 2, the related allowance for accumulated depreciation should have a balance

A) $15,000 less than under the straight-line method.

B) $15,000 less than under the double-declining-balance method.

C) $18,000 greater than under the straight-line method.

D) $18,000 greater than under the double-declining-balance method.

9.

Composite depreciation and group depreciation

A) Are straight-line methods.

B) Are accelerated methods.

C) Provide a constant return on carrying amount.

D) Recognize a gain or loss on retirement of an asset.

10.

XYZ Co. purchased a mine for $600,000 and incurred a cost of $80,000 to prepare for the extraction of ore. The mines estimated value is $40,000 after the ore has been extracted. If the original estimated amount of ore that can be extracted from the mine was 32,000 tons, the depletion charge per ton was

A) $17.50

B) $21.25

C) $20.00

D) $18.75

11.

Carr, Inc., purchased equipment for $100,000 on January 1, Year 1. The equipment had an estimated 10-year useful life and a $15,000 salvage value. Carr uses the 200% declining balance depreciation method. In its Year 2 income statement, what amount should Carr report as depreciation expense for the equipment?

A) $13,600

B) $16,000

C) $17,000

D) $20,000