Bina Co. purchased a vehicle on January 1st, for $15,000 and estimates it will use the vehicle for eight years with a $3,000 salvage value

Total asset turnover is computed as net sales /average total assets.


Bina Co. purchased a vehicle on January 1st, for $15,000 and estimates it will use the vehicle for
eight years with a $3,000 salvage value. Using the double declining-balance depreciation method,
compute the vehicle's second year depreciation expense.

$3,000.00
$2,812.50
$2,250.00
$3,750.00


Amortization expense is recorded on which financial statement?

Income statement
Balance sheet
Statement of retained earnings


__ is measured as the excess of the cost of an acquired entity over the value of the acquired net
assets.

Patent
Goodwill
Leasehold
Copyright


A company acquires a patent for $20,000 to manufacture and sell an item. The company intends to hold
the patent for 5 years. Amortization for the first year will be recorded with a debit to Amortization Expense
for $4000.