Russin Tax Planning Service bought computer equipment for $24,000 on January 1,2016.It has an estimated useful life of four years and zero residual value.Russin uses the straight-line method to calculate depreciation and records depreciation expense in the books at the end of every month.Calculate the amount of Depreciation Expense for the period,January 1,2016 through September 30,2016,for this equipment.(Round any intermediate calculations to two decimal places,and your final answer to the nearest dollar. )
A)$6,000
B)$4,500
C)$6,500
D)$5,000

Question

Quizplus · Accepted Answer

B)Straight-line depreciation = (Cost - Residual value)/ Useful life
Straight-line depreciation = ($24,000 - 0)/ 4 years = $6,000 per year 11ea8a42_4f1f_a5d3_8b44_7f865bb38ba9_TB5024_00 Depreciation Expense from January to 11ea8a42_4f1f_a5d4_8b44_a3fd508d7e81_TB5024_00

Russin Tax Planning Service Bought Computer Equipment for $24,000 on January