13) Lorenzo Corporation purchased equipment on January 1, 2019 for $600,000. The equipment had an estimated useful life of 5 years and an estimated salvage value of $60,000. After using the equipment for 2 years, the company determined that the equipment could be used for an additional 6 years and have a salvage value of $8,000. Assuming Lorenzo Corporation uses straight-line depreciation, compute depreciation expense for the year ending December 31, 2021. (Round your final answer to the nearest dollar.)

A) $216,000

B) $64,000

C) $62,667

D) $108,000

14) Marjorie Corporation acquired a building on January 1, 2019, for $800,000. The building had an estimated useful life of 20 years and an estimated salvage value of $29,000. On January 1, 2021, Marjorie Corporation determined that the building could only be used for another 10 years and there would be no salvage value. Compute depreciation expense for the year ending December 31, 2021, if Marjorie Corporation uses straight-line depreciation.

A) $38,550

B) $115,650

C) $72,290

D) $77,100

15) Cramer Company purchased equipment on May 1, 2019 for $200,000. The residual value is $20,000 and the estimated useful life is 10 years. What is the Depreciation Expense for the year ending December 31, 2019, if the company uses the straight-line method? (Round your final answer to the nearest dollar.)

A) $13,333

B) $12,000

C) $20,000

D) $18,000