A pressurized spray painter was purchased on April 1 of the fiscal year for $3,900. It has a useful life of 4 years, and a residual value of $300.
1. Determine depreciation expense for year one using the straight-line method. (Points : 3)
$300
$3900
$600
$675


2. Determine depreciation expense for year one using the double-declining-balance method. (Points : 3)
$3900.00
$1462.50
$2437.50
$1500.00


3. Determine depreciation expense for two using the straight-line method. (Points : 3)
$300
$3900
$600
$900


4. Determine depreciation expense for year two using the double-declining-balance method. (Points : 3)
$1218.75
$3900
$2437.50
$1500.00


5. If the equipment is sold at the end of year one for $3225, what will be the gain or loss on the sale,
assuming that the company used the straight line method of depreciation. (Points : 3)
$1000
$100
$2225
$0

Ok, first I would question why you felt the need for this spray painter? Then, I would also question where you got the money to pay for it to begin with... I mean, you had $3,900 laying around to buy this or did you take out a loan? Then, with that said, I am thinking perhaps you should have figured all this out before you made such an investment.



Ok, seriously... we don't do homework here. If we did, how much would you actually learn? People will help with homework but not just give you the answers... you need to attempt it and show your work. Thanks for playing.