A company purchased equipment for $240,000 on Mar, 2021. The estimated service life is six years with a $60,000 residual value. The company records partial-year depreciation based on the number of months in service. Depreciation expense for the year ended December 31, 2021, using straight-line depreciation, is:

A company purchased equipment for $240,000 on Mar, 2021. The estimated service life is six years with a $60,000 residual value. The company records partial-year depreciation based on the number of months in service. Depreciation expense for the year ended December 31, 2021, using straight-line depreciation, is:



A) $33,333.

B) $40,000.

C) $30,000.

D) $25,000.


Answer: D


Learn More :