Dirt Corporation schedule of depreciable assets at December 31, 20X7 was as follows:

Asset

Cost

Accum. Depreciation

Acquisition date

Residual value

A

100,000

64,000

20X6

20,000

B

55,000

36,000

20X5

10,000

C

70,000

33,600

20X5

14,000

Dirt takes a full year's depreciation expense in the year of an asset's acquisition, and no depreciation expense in the year of an asset's disposition. The estimated useful life of each depreciable asset is 5 years.

1.Dirt depreciates asset A on the double-declining-balance method. How much depreciation expense should Dirt record in 20X8 for asset A?

a.32,000

b.25,600

c.14,400

d.6,400

2.Dirt depreciates asset A on the double-declining-balance method. How much depreciation expense should Dirt record in 20X9 for asset A?

a. 2,000

b. 5,600

c. 1,600

d. 8,640

3.Using the same depreciation method as used in 20X5, 20X6, and 20X7, how much depreciation expense should Dirt record in 20X8 for asset B?

a.6,000

b.9,000

c.11,000

d.12,000

4.Dirt depreciates asset C by the straight-line method. On June 30, 20X8, Dirt sold asset C for 28,000 cash. How much gain (loss) should Dirt record in 2008 on the disposal of asset C?

a.2,800

b.(2,800)

c.(5,600)

d.(8,400)