End of an assets useful life there is no need to

end of an asset's useful life, there is no need to charge the portion of cost equaling the residual value.
Useful Life is the estimated time period an asset is expected to be used from the time it is available for
use to the time of its disposal or termination of use. Useful life is normally calculated in units of years but
it may be calculated based on an alternative basis. Useful life of an oil extraction company may for
example be the estimated oil reserves.
Guided Response:

Let at least two of your peers know if a company would use an accelerated depreciation method for their
financial statements or their tax returns. Why do you believe this would be the case?
Assignment
Please complete each of the exercises below in a word document. Save the document, and submit to in
week using the Assignment Submission button.
Week Three Exercise Assignment
Week 4
Discussion 1
Current Liability
What is a current liability? From the perspective of a user of financial statements, why do you believe
current liabilities are separated from long-term liabilities? Based on your current experience as well as
any additional research you may have done provide two examples of situations where businesses collect
monies from customers and employees and reports these amounts as a current liability.
Guided Response:
Review several of your peers’ posts and identify the core components of a current liability. Respond to
at least two of your peers and provide recommendations to extend their thinking. Challenge your peers
by asking a question that may cause them to reevaluate if their example is a current liability.
Discussion 2
Client Recommendations

A client comes to you thinking about starting a consulting business. Your client is specifically interested
in what type of entity should be created for this new business. Based on your readings or any additional
research you may have done, discuss the advantages and disadvantages of the following: sole
proprietorship, partnership, and corporation. Based on these advantages and disadvantages provide a