(a) Define long-lived assets. (b) What are the two common categories of long-lived assets? (c) Give 2 examples per category.

Distinguish between ordinary repairs and extraordinary repairs. How is each accounted for?

Distinguish between depreciation and amortization.

Barber, Inc. depreciates its building on a straight-line basis. A building was purchased on January 1 that had an estimated useful life of 20 years and a residual value of $20,000. The company's Depreciation Expense for that year was $20,000 on the building. What was the original cost of the building?