Please specifically explain number 1, 2 and 3.

For number 2, wouldn't it be $500 because it should be $100 for each robot?

For number 3, isnt is B because they say they will use the robots for only three years? Or does this question assume they may continure use of the robots but also upgrade and get news robots they will use as well?

1. (1 point) Assume that Dallas Cowboys bought five of MVP robots paying cash. Sales tax was applied, rate was 8.25%. So, the purchase price with tax was 1.0825x$8,250=$8,931 per robot. Delivery and installation was covered by the manufacturer (free for the team). How will Dallas Cowboys record the transaction?

a. The purchase will be capitalized; $44,655 will be recorded as a long-term tangible asset

b. The purchase will be capitalized; $44,655 will be recorded as an organization expense

c. The purchase will be expensed; $44, 655 will be recorded as an operating expense

d. The purchase will be expensed; $44, 655 will be recorded as a long-term tangible asset

(1 point) What if, after a year of intense use, routine maintenance needed to be performed on the MVP robots. For example, the foam padding might need to be replaced and it will cost $100 per robot. Would the Dallas Cowboys expense or capitalize the cost of the routine maintenance?

a. $100 of maintenance expense will be recorded

b. $500 of maintenance expense will be recorded

c. $100 increase in robot book value will be recorded

d. $500 increase in robot book value will be recorded

(1 point) MVP robots are estimated by the manufacturer to last for five years. Dallas Cowboys has a definite plan at the time of purchase to use robots for three years only and then upgrade to the newest tackle robot model available at that future time. What is estimated useful life?

a. One year

b. Three years

c. Five years

d. Cannot be determined from the information provided

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(1 point) Assume that Texas Longhorns bought three of MVP robots paying cash. Tax rate was 8.25%. Delivery and installation was covered by the seller (free for the team). So, the purchase price with tax was 1.0825x$8,250=$8,931 per robot. What is annual straight-line depreciation expense that needs to be recorded for three robots at the end of the first year? Estimated useful life of MVPs is four years and expected salvage value is $0.

a. $2,233

b. $6,698

c. $8,931

d. $26,793

(1 point) What is the book value of three MVPs at the end of the second year for Texas Longhorns?

a. $6,698

b. $13,396

c. $20,094

d. 26,793