REVIEW I PPES and Intangibles

Quick Check (Answers are given 'he end 'he chapter.)

I. . and
• value land
d. Of above
is principle it
ting life.
a fund end of life,
c 't of PPE
Use data 3—6.
On July l. Amir purchased a Of that
estimatcd life is
In years value is
What is depreciation for 20M' if Amir
a. S3.000
c. 9.250
d. 95,500
4. Assume Amir Communications the cquipmcnt on January If Amir
the straight-linc method ror what i' the value at end of
b. S59/Jor'
S. Assume Amir Communications purchased the equipment on Jxnuary I .20X6. If Amir
the InethOd, What is the depreciation for 20X7?
b. SIO.400
c. s12.0(NJ
d. S9,600
6. Return Amir'S original of July As
that Amir the
straight-line Of depreciation and the for S44.SOO on July l, 20X9,
Tbc of sale of the equipment a gain (loss) Of
a. S3.sorx
b. SS.SOO,
7. A company bought a new machine January l. The machine is
five and has a residual value Of If the company uses the
declining-balancc method, at end of 2 will hc
b. S9,60tj_
C. S19.200.
d. S15.360.
8. Which of the is a capital expenditure?
a. A complete overhaul of an system
b. Of an old with a in a piece Of equipment
c. Cost Of installing a piece of equipment
d. addition of a Iwilding Wing
e. A tone-up of a Company Vehicle