1) A company purchased a building at a cost of $470,000 on January 1. The building is estimated to have a useful life of 10 years and a $59,000 salvage value. The company uses the straight-line method of depreciation. What is the amount of depreciation expense for the building for the second year?

$41,100

$387,800

$428,900

$47,000

$82,200

2) Dawson Electronic Services had revenues of $106,000 and expenses of $63,000 for the year. Its assets at the beginning of the year were $413,000. At the end of the year assets were worth $463,000. Calculate its return on assets.

10.4%

24.2%

9.3%

25.7%

9.8%