Question
On January 1st, 2023, ABC Inc. purchased equipment for $80,000. The equipment has a useful life of 5 years and a salvage value of $5,000.
On January 1st, 2023, ABC Inc. purchased equipment for $80,000. The equipment has a useful life of 5 years and a salvage value of $5,000. Calculate: a) Annual straight-line depreciation expense. b) Accumulated depreciation at the end of the second year. c) Book value of the equipment at the end of the third year. d) Journal entry to record depreciation expense for the second year.
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Intermediate accounting
Authors: J. David Spiceland, James Sepe, Mark Nelson
7th edition
978-0077614041, 9780077446475, 77614046, 007744647X, 77647092, 978-0077647094
