🏷️ LIMITED TIME OFFER: GET 20% OFF GRADE+ YEARLY SUBSCRIPTION →
Log in
Accounting
1
answer
1
watching
926
views

The total cost of an asset less its accumulated depreciation is called:

a. Historical cost

b. Book value

c. Present value

d. Current (market) value

e. Replacement cost

Watch
1
answer
1
watching
926
views

For unlimited access to Homework Help, a Homework+ subscription is required.

Deanna Hettinger
Deanna HettingerLv2
13 Feb 2020

Unlock all answers

Get 1 free homework help answer.
Already have an account? Log in
Share

Related questions

33. The declining-balance method of depreciation produces a(n)

a. decreasing depreciation expense each period.

b. increasing depreciation expense each period.

c. declining percentage rate each period.

d. constant amount of depreciation expense each period.

 

34. Which of the following methods will result in the highest depreciation in the first year?

a. Sum-of-year's-digits.

b. Time valuation.

c. Straight-line.

d. Declining-balance.

 

35. A gain or loss on disposal of a plant asset is determined by comparing the

a. replacement cost of the asset with the asset's original cost.

b. book value of the asset with the asset's original cost.

c. original cost of the asset with the proceeds received from its sale.

d. book value of the asset with the proceeds received from its sale.

 

36. The book value of a plant asset is the difference between the

a. replacement cost of the asset and its historical cost.

b. cost of the asset and the amount of depreciation expense for the year.

c. cost of the asset and the accumulated depreciation to date.

d. proceeds received from the sale of the asset and its original cost.

9 Assets are initially recorded at: a. Fair market value b. Replacement cost C. Historical cost d. Residual value e. None of the above The correct answer is 'c'.

Property and equipment is reported at its:

A.

historical cost.
B.

market value.
C.

book value.
D.

fair value.
E.

depreciation cost.

Uganda Corporation estimates the life of its building to be 30 years. It originally cost $300,000 and was given a residual value of $30,000. Depreciation expense per year should be:

A.

$100,000.
B.

$10,000.
C.

$300,000.
D.

$9,000.
E.

$90,000.

QUESTION 3

Western Corporation purchased a machine for $20,000 with no residual value and a life of 4 years. What is the book value of the machine at the end of Year 4?

A.

$5,000
B.

$16,000
C.

$4,000
D.

$0
E.

$20,000

QUESTION 4

The difference between the cost of an asset and its salvage value is its:

A.

historical cost.
B.

book value.
C.

fair value.
D.

depreciable base.
E.

depreciation expense.

QUESTION 5

An asset costing $50,000 with accumulated depreciation of $20,000 is sold for $25,000. What is the resulting gain or loss?

$5,000 gain

$5,000 loss

Cannot determine since salvage value is not provided in the question.

QUESTION 6

Which of the following is an example of an accelerated depreciation method?

A.

The units-of-production method
B.

The half-year convention method
C.

The fixed assets turnover method
D.

The double-declining balance method
E.

The straight-line method

QUESTION 7

Mannow Company uses the units-of-production depreciation method. Mannow purchased a machine for $80,000 with no salvage value. Mannow believes the machine will produce 400,000 units. In the first year, 90,000 units are produced. In the second year, 70,000 units are produced. What is the balance in accumulated depreciation at the end of year two?

A.

$14,000
B.

$32,000
C.

$10,000
D.

$18,000
E.

$16,000

Weekly leaderboard

Home
Homework Help 3,900,000
Accounting 580,000
Start filling in the gaps now
Log in