1.
award:
1 out of
1 point
Which of the following items should be classified as long-term operational assets?
a.
Prepaid insurance
No
b.
Coal mine
Yes
c.
Office equipment
Yes
d.
Notes receivable (short-term)
No
e.
Supplies
No
f.
Copyright
Yes
g.
Delivery van
Yes
h.
Land held for investment
No
i.
10-year treasury note
No
j.
Cash
No
k.
Filing cabinet
Yes
l.
Inventory
No
2.
award:
1 out of
1 point
Identify each of the following long-term operational assets as either tangible (T) or intangible (I).
a.
Pizza oven
T
b.
Land
T
c.
Franchise
I
d.
Filing cabinet
T
e.
Copyright
I
f.
Silver mine
T
g.
Office building
T
h.
Drill press
T
i.
Patent
I
j.
Oil well
T
k.
Desk
T
l.
Goodwill
I
[The following information applies to the questions displayed below.]
At the beginning of 2009, Expert Manufacturing purchased a new computerized drill press for $65,000. It
is expected to have a five-year life and a $5,000 salvage value.
3.
award:
1 out of
1 point
Requirement 1:
Compute the depreciation for each of the five years, assuming that the company uses. (Omit the “$”
sign in your response.)
(a)
Straight-line depreciation
$ 12,000 per year
(b)
Depreciation
Year 1
$ 26,000
Year 2
15,600
Year 3
9,360
Year 4
5,616
Year 5
3,424
Requirement 2:
=