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Warren Company plans to depreciate a new building using the double declining-balance depreciation method. The building cost is $900,000. The estimated residual value of the
Warren Company plans to depreciate a new building using the double declining-balance depreciation method. The building cost is $900,000. The estimated residual value of the building is $60,000 and it has an expected useful life of 20 years. What is the building's book value at the end of the first year? Multiple Choice $49,800 $90,000. O $45.000 O $810.000 On January 1, 2019, Wasson Company purchased a delivery vehicle costing $55,600. The vehicle has an estimated 8-year life and a $5,000 residual value. Wasson uses the units-of-production depreciation method and Wasson estimates that the vehicle will be driven 110,000 miles. What is the vehicle's book value as of December 31, 2020, assuming the vehicle was driven 11,000 miles during 2019 and driven 19,000 miles during 2020? (Do not round your Intermediate calculations.) Multiple Choice O $36.800. $41.800. O O $37.950. $42.950 Carter Company disposed of an asset at the end of the elghth year of its estimated life for $11,500 cash. The asset's life was originally estimated to be 10 years. The original cost was $53,300 with an estimated residual value of $5,300. The asset was being depreciated using the straight-line method. What was the gain or loss on the disposal? Multiple Choice O. $3,400 loss $6,700 gain. O O $1,900 loss O $11,500 gain
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