Using the straight-line method, depreciation for 2010 and the equipment's book value at December 31, 2010 would be:
A)$14,400 and $43,200.
B)$28,800 and $37,200.
C)$13,200 and $39,600.
D)$13,200 and $45,600.Depreciation, 2010 = ($72,000 6,000) 5 = $13,200 Book value, 12/31/10 = $72,000 (2 13,200) = $45,600

Question

Quizplus · Accepted Answer

The depreciation for 2010 is calculated as ($72,000 - $6,000) / 5 = $13,200. The book value at December 31, 2010, is $72,000 - (2 * $13,200) = $45,600.

Using the Straight-Line Method, Depreciation for 2010 and the Equipment's