QUESTIONS Depreciation, for accounting purposes O a must be calculated using the straight-line method O b. is reported for all long-term assets O represents the using up of the cost of property, plant, and equipment onts, which becomes expense O d. represents the decrease in fair market value of property, plant, and equipment s QUESTION 9 A company would exclude from its balance sheet a $1 million machine that it O auses but does not own under an operating lease O b. purchased with funds received from a bank loan O c. purchased with cash Od uses but does not own under a capital lease QUESTION 10 The book value of a two-year-old machine O a will be reported as an operating expense on a firm's balance sheet b. will be lower than the book value of that machine when it was only one year old O c. is equal to its market value at that point in time d will be greater than the book value of that machine was when it was only one year old