On January 1 of the current year, a company purchased a plant asset for $120,000. The asset has an estimated salvage value of $16,000, and an estimated useful life of 8 years. Depreciation expense in the first year using the double-declining-balance method is $30,000.
Answer the following statement true (T) or false (F)
True
Depreciation Expense = Beginning Book Value × (200%/Estimated Useful Life) Depreciation Expense = $120,000 × (200%/8) = $30,000
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Answer the following statement true (T) or false (F)
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