10. On January 1, 20X1, a plant asset was acquired for $30,000 and had an estimated useful life of four years and an estimated salvage value of $5,000. If the straight-line method is used, the book value on December 31, 20X4, will be a. $5,000. b. $25,000. C. $18,750. d. $11,250.

10. On January 1, 20X1, a plant asset was acquired for $30,000 and had an estimated useful life of four years and an estimated salvage value of $5,000. If the straight-line method is used, the book value on December 31, 20X4, will be a. $5,000. b. $25,000. C. $18,750. d. $11,250.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

10. On January 1, 20X1, a plant asset was acquired for $30,000 and had an estimated useful life of
four years and an estimated salvage value of $5,000. If the straight-line method is used, the
book value on December 31, 20X4, will be
a. $5,000.
b. $25,000.
C. $18,750.
d. $11,250.

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