Which of the following would be considered a long

This preview shows page 8 - 10 out of 17 pages.

12)Which of the following would be considered a long term liability account?
13)Which of the following items is an explicit transaction?
14)Luster Consulting Company purchased a new heating and cooling system fortheir office building in March, 2014. After installing and testing the equipment, itwas put into service on April 1, 2014. The total cost to put the equipment intoservice was $45,000; it is expected to have a useful life of 10 years and asalvage value of $5,000. On December 31, 2014, assuming Luster ConsultingCompany uses straight-line depreciation, what will be the amount of depreciationexpense on the books?
15)West Corp. purchased a piece of equipment in January 2014. The accountant ofWest Corp. decided to use double declining balance method to depreciate thisequipment.For 2014, compared with using straight-line depreciation method, the company will have:

Upload your study docs or become a

Course Hero member to access this document

Upload your study docs or become a

Course Hero member to access this document

End of preview. Want to read all 17 pages?

Upload your study docs or become a

Course Hero member to access this document

Term
Fall
Professor
N/A
Tags
Accounting, Balance Sheet, Generally Accepted Accounting Principles

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture