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A company buys an oil rig for $800,000 on January 1, 2019. The life of the rig is 10 years and the expected cost ho
A company buys an oil rig for $800,000 on January 1, 2019. The life of the rig is 10 years and the expected cost ho diuman to the rig at the end ik ook $200,000 (present value at 10% is $77.110), 10% is an appropriate interest rate for this company. What expenses should be recorded for 2010 these events? O A Depreciation expense of $80,000 OB. Depreciation expense of $80,000 and interest expense of 57,711 OC Depreciation expense of $80,000 and interest expense of $20.000 OD Depreciation expense of $87,711 and interest expense of $7.711
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