At the beginning of the year, Jobs Co. owned one piece of office equipment, a copier. The copier was purchased two years ago for $12,000

Which of the following assets are amortized? (Check all that apply.)

Coal mine
Patent
Land
Building
Copyright 


Geo Co. purchased a building for $400,000. In addition, Geo paid $35,000 closing fees (including
brokerage, title, and attorney fees). Geo also paid $60,000 to modify the building, changing the layout

specifically for Geo's needs. Geo should record the building at $495000. 


$400,00035,00060,000=$495,000


Land improvements are assets that Increase the benefits of land, have a limited useful life, and are
depreciated-such as sidewalks and fences.



Book value can be calculated by taking an asset's acquisition costs less its accumulated depreciation. 




At the beginning of the year, Jobs Co. owned one piece of office equipment, a copier. The copier was
purchased two years ago for $12,000. At the beginning of the year, the balance in accumulated
depreciation was $4,000. Jobs uses straight-line depreciation of $2,000 per year with a zero salvage

value. How much is accumulated depreciation at the end of the year?


$10,000
$2,000
$4,000
$6,000
$12,000
$8,000