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1. A machine with a cost of $51,600 has an estimated residual value of $3,119 and an estimated life of 5 years or 16,359 hours.

1. A machine with a cost of $51,600 has an estimated residual value of $3,119 and an estimated life of 5 years or 16,359 hours. What is the amount of depreciation for the second full year, using the double-declining-balance method?

a.$10,320.00

b.$12,384.00

c.$20,640.00

d.$19,392.40

2. If a fixed asset, such as a computer, were purchased on January 1st for $1,919 with an estimated life of 4 years and a salvage or residual value of $137, the journal entry for monthly expense under straight-line depreciation is

a.

Accumulated Depreciation 445.50
Depreciation Expense 445.50

b.

Accumulated Depreciation 37.13
Depreciation Expense 37.13

c.

Depreciation Expense 37.13
Accumulated Depreciation 37.13

d.

Depreciation Expense 445.50
Accumulated Depreciation 445.50

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