题目内容

Acapitalexpenditure

A. isexpensedimmediately.
B. recordsadditionalcapital.
C. isacreditlikecapital(owners’equity)
D. addstoanasset.

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Whichofthefollowingitemsshouldbeaccountedforasacapitalexpenditure?

A. Themonthlyrentalcostofanofficebuilding.
B. Salestaxespaidinconjunctionwiththepurchaseofofficeequipment.
Costsincurredtorepairleaksinthebuildingroof.
D. Maintenancefeespaidwithfundsprovidedbythecompanycapital.

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HarperCompanyacquiredamachinefor$26,000andhasrecordeddepreciationforthreeyearsusingthestraight-linemethodoverasix-yearlifeand$2,000residualvalue.Whatisthebookvalueofthemachineattheendofthreefullyearsofuse?

A. $12,000
B. $13,000
C. $14,000
D. $16,250

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SmithCompanyfailedtorecorddepreciationofequipment.HowdoesthisomissionaffectSmith’sfinancialstatements?

A. Netincomeisoverstatedandassetsareoverstated.
B. Netincomeisunderstatedandassetsareunderstated.
C. Netincomeisoverstatedandassetsareunderstated.
D. Netincomeisunderstatedandassetsareoverstated.

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HunterCompanyusesthedouble-declining-balancemethodtomeasuredepreciationonitscomputers.Whichitemisnotneededtocomputedepreciationforthefirstyear?

A. Originalcost
B. Estimatedsalvagevalue
C. Expectedusefullifeinyears
DDBrate

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Acapitalexpenditure

A. isexpensedimmediately. B. recordsadditionalcapital. C. isacreditlikecapital(owners’equity) D. addstoanasset.

Whichofthefollowingitemsshouldbeaccountedforasacapitalexpenditure?

HarperCompanyacquiredamachinefor$26,000andhasrecordeddepreciationforthreeyearsusingthestraight-linemethodoverasix-yearlifeand$2,000residualvalue.Whatisthebookvalueofthemachineattheendofthreefullyearsofuse?

SmithCompanyfailedtorecorddepreciationofequipment.HowdoesthisomissionaffectSmith’sfinancialstatements?

HunterCompanyusesthedouble-declining-balancemethodtomeasuredepreciationonitscomputers.Whichitemisnotneededtocomputedepreciationforthefirstyear?

A. isexpensedimmediately.
B. recordsadditionalcapital.
C. isacreditlikecapital(owners’equity)
D. addstoanasset.