Item 6 Part 4 of 4 3.35 points Print Item 6 Required information Skip to question [The following information applies to the questions displayed below.] In this module, you will learn how to apply various depreciation methods as economic benefits are used up over time. In conformity with the matching principle, the cost of long-lived tangible assets (less any estimated residual value) is allocated to depreciation expense over each period benefited by the assets. Because of depreciation, the book value of an asset declines over time and net income is reduced by the amount of the expense. Common depreciation methods include straight-line (a constant amount over time), units-of-production (a variable amount over time), and double-declining-balance (a decreasing amount over time). Current Time 0:00 / Duration 2:43 Knowledge Check 01 On January 1, Year 1, the Starshina Company paid $25,000 for a photocopier with an estimated useful life of 4 years, and an estimated residual value of $5,000. The company uses the double-declining-balance method. What is the amount of depreciation expense for Year 3?

Using the Declining Balance Method.

What is the Depreciation Expense