38 Our company bought a machine on January 1 of year 1. The machine's cost was $74,000, its useful life was estimated to be 10 years, and the salvage value was estimated to be $8,000. After three years of using straight line depredation, the accumulated depreciation was $19,800 At the beginning of year 4, we decided the remaining useful life was only 5 years, and there would be no salvage value. An entry made in year 4 would indude A a debit to depredation expense of $23,100. a debit to retained earnings a credit to retained earnings a debit to depreciation expense of $10,840. None of the other answers is correct B D E 39 Our company has preferred stock outstanding, but this year our board of directors did not dedare any dividend. When calculating earnings per share, under what circumstances would we subtract the normal preferred dividend in the numerator? A under no circumstances, because there is no preferred dividend If there was a net loss for the period C If the preferred stock is non cumulative D If the preferred stock Is cumulative A B 40 Which of the following could NOT appear in the stockholders' section of a corporation's balance sheet? Pald-in capital - excess of par, preferred Paldin capital - lapse of stock options C Paldin capital - restricted stock Pald.in capital - share repurchase Each of the four items in Athrough D COULD appear on a corporation's Balance sheet mon