Microsystems Corporations schedule of depreciable assets at December 31, Year 3, is shown below. Microsystems takes a full years depreciation expense in the year of an assets acquisition and no depreciation expense in the year of an assets disposition. The estimated useful life of each depreciable asset is 5 years (a) Microsystems depreciates asset A on the double-declining-balance method. How much depreciation expense should Microsystems record in Year 4 for asset A? (b) Using the sum-of-the-years-digits (SYD) method, how much depreciation expense should Microsystems record in Year 4 for asset B? (c) Microsystems depreciates asset C by the straight-line method. On June 30, Year 4, Microsystems sold asset C for $28,000 cash. How much gain or (loss) should Microsystems record in Year 4 on the disposal of asset C? Asset Cost Accumulated Acquisition Date Salvage Value

Depreciation

A 100,000 $ 64,000 Year 2 $20,000

B 55,000 36,000 Year 1 10 ,000

C 70,000 33,600 Year 1 14,000 $225,000 $133,600 $44,000