1. MC Qu.107 A piece of equipment was acquired on January...

A piece of equipment was acquired on January 1, 2015, at a cost of $50,000, with an estimated residual value of $5,000 and an estimated useful life of ten years. The company uses the double-declining-balance method. What is its book value at December 31, 2016?

A $10,000

B $32,000

C $9,000

D $41,000

2. MC Qu. 207 Which of the following statements is ...

Which of the following statements is correct?

A Depreciation allocates the cost of tangible assets over their useful lives.

B Depreciation allocates the cost of intangible assets over their useful lives.

C Amortization allocates the cost of tangible assets over their useful lives.

D The term "depreciation" relates to all long-lived assets whereas "amortization" relates only to intangible assets.