Mack Co. takes a full year's depreciation expense in the year of an asset's acquisition and no depreciation expense in the year of disposition. Data relating to one of Mack's depreciable assets at December 31, 2008 are as follows:
Using the same depreciation method as used in 2006, 2007, and 2008, how much depreciation expense should Mack record in 2009 for this asset?

Question

Mack Co. takes a full year's depreciation expense in the year of an asset's acquisition and no depreciation expense in the year of disposition. Data relating to one of Mack's depreciable assets at December 31, 2008 are as follows:
 Using the same depreciation method as used in 2006, 2007, and 2008, how much depreciation expense should Mack record in 2009 for this asset?

Quizplus · Accepted Answer

2/15 × ($140,000 - $20,000) = $16,000.

Mack Co Takes a Full Year's Depreciation Expense in the Year