1. lomax enterprises purchased a depreciable asset for $22,500 on

1.  Lomax Enterprises purchased a depreciable asset for $22,500 on March 1, Year 1. The asset will be depreciated using the straight-line method over its four-year useful life. Assuming the asset’s salvage value is $2,100, Lomax Enterprises should recognize depreciation expense in Year 2 in the amount of:








2.  Thomas Enterprises purchased a depreciable asset on October 1, Year 1 at a cost of $116,000. The asset is expected to have a salvage value of $15,400 at the end of its five-year useful life. If the asset is depreciated on the double-declining-balance method, the asset’s book value on December 31, Year 3 will be (Do not round intermediate calculations):








3.  When originally purchased, a vehicle had an estimated useful life of 8 years. The vehicle cost $26,100 and its estimated salvage value is $3,300. After 4 years of straight-line depreciation, the asset’s total estimated useful life was revised from 8 years to 6 years and there was no change in the estimated salvage value. The depreciation expense in year 5 equals:








4.  A company discarded a display case originally purchased for $8,950. The accumulated depreciation was $6,250. The company should recognize a:


$6,250 loss.  

$0 gain or loss.  

$2,700 gain.  

$8,950 loss.  

$2,700 loss.    


5.  Cambria owns equipment that cost $105,500 with accumulated depreciation of $72,000. Cambria asks $38,000 for the equipment but sells the equipment for $35,000. Compute the amount of gain or loss on the sale.


$4,500 gain.  

$1,500 gain.  

$4,500 loss.  

$1,500 loss.  

$3,000 gain. 


6.  During August, Arena Company sells $349,000 in product that has a one year warranty. Experience shows that warranty expenses average about 3% of the selling price. The warranty liability account has a balance of $12,100 before adjustment. Customers returned product for warranty repairs during the month that used $8,700 in parts for repairs. The entry to record the customer warranty repairs is:


Debit Estimated Warranty Liability $8,700; credit Parts Inventory $8,700.  

Debit Warranty Expense $10,470; credit Estimated Warranty Liability $10,470.  

Debit Estimated Warranty Liability $10,470; credit Parts Inventory $10,470.  

Debit Warranty Expense $8,700; credit Estimated Warranty Liability $8,700.  

Debit Warranty Expense $7,070; credit Estimated Warranty Liability $7,070. 


7.  Maryland Company offers a bonus plan to its employees equal to 2% of net income. Maryland’s net income is expected to be $965,000. The amount of the employee bonus expense is estimated to be








8.  An employee earns $6,100 per month working for an employer. The FICA tax rate for Social Security is 6.2% and the FICA tax rate for Medicare is 1.45%. The current FUTA tax rate is .8%, and the SUTA tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee’s pay. The employee has $206 in federal income taxes withheld. The employee has voluntary deductions for health insurance of $174 and contributes $87 to a retirement plan each month. What is the amount the employer should record as payroll taxes expense for the employee for the month of January? (Round your intermediate calculations and final answer to two decimal places.)








9.  An employee earned $5,000 working for an employer. The current rate for FICA Social Security is 6.2% and the rate for FICA Medicare 1.45%. The employer’s total FICA payroll tax for this employee is (Do not round your intermediate calculations. Round you final answers to two decimal places):






Zero, since the FICA tax is a deduction from an employee’s pay, and not an employer tax. 


10. On November 1, Carter Company signed a 120-day, 10% note payable, with a face value of $22,500. What is the maturity value of the note on March 1? (Use 360 days a year.)








Prime Paper Help
Calculate your paper price
Pages (550 words)
Approximate price: -

Why Work with Us

Top Quality and Well-Researched Papers

We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.

Professional and Experienced Academic Writers

We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.


Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.


Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.


Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.


Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.