ACCNT CHP 9&11

The cost of an asset is $1,000,000, and its residual value is $290,000. Estimated useful life of the asset is five years. Calculate depreciation for the first year using the double-declining-balance method of depreciation.

$400,000

The type of intangibe asset related to the exclusive right to reproduce and sell a book or intellectual property is a

Copyright

It is mandatory for both the employer and employee to pay

FICA

Which of the following is required to be deducted from employees paychecks

Federal Income tax

WHICH OF THE FOLLOWING IS PAID BY THE EMPLOYER ONLY

Federal unemployment tax

Which of the following is an intangible asset

Goodwill

Which of the following items should be amortized

Patents, copyrights, trademarks

Which of the following is an asset that represents distinctive identifications of a product or service

Trade Mark

A photocopier cost $102,000 when new and has accumulated depreciation of $90,000. If the business discards this plant asset, the result is

a loss of $12,000

Which of the following depreciation methods allocates a higher amount of depreciation in earlier years than in later years?

the double-declining-balance method

Which of the following depreciation methods allocates a varying amount of depreciation each year based on an asset's usage?

the units-of-production method