1_

Cutter Enterprises purchased equipment for $60,000 on January 1, 2021. The equipment is expected to have a five-year life and a residual value of $6,300. Using the sum-of-the-years'-digits method, depreciation for 2021 and book value at December 31, 2021, would be: (Do not round depreciation rate per year)

Multiple Choice

$17,900 and $35,800 respectively.

$20,000 and $33,700 respectively.

$20,000 and $40,000 respectively.

2-

Jennings Advertising, Inc. reported the following in its December 31, 2021, balance sheet:

Equipment	$	280,000
Less: Accumulated depreciationequipment	$	162,000

In a disclosure note, Jennings indicates that it uses straight-line depreciation over 14 years and estimates salvage value at 10% of cost. What is the average age of the equipment owned by Jennings?

Multiple Choice

5.8 years.

8.2 years.

5 years.

9 years.

3-

sset C3PO has a depreciable base of $22.00 million and a service life of 10 years. What would the accumulated depreciation be at the end of year five under the sum-of-the-years'-digits method? (Do not round intermediate calculations.)

Multiple Choice

$6.00 million.

$11.00 million.

$16.00 million.

None of these answer choices are correct.