EFG Transportation Company uses the straight-line method to…

EFG Transportation Company uses the straight-line method to depreciate its delivery truck. Which of the following reflects how recognizing depreciation expense would affect the financial statements? Balance SheetIncome StatementStatement of Cash FlowsAssets=Liabilities+Stockholders’ EquityRevenue−Expense=Net IncomeA.Increase,Decrease= + − = B.Increase,Decrease= + −Increase=DecreaseDecrease OAC.Decrease= +Decrease −Increase=Decrease D.Increase=Increase+ − = Decrease OA

On January 1, Year 1, Phillips Company made a basket purchas…

On January 1, Year 1, Phillips Company made a basket purchase including land, a building and equipment for $1,005,000. The appraised values of the assets are $72,000 for the land, $1,000,000 for the building and $208,000 for equipment. Phillips uses the double-declining-balance method for the equipment which is estimated to have a useful life of four years and a salvage value of $10,000. What is the depreciation expense for the equipment for Year 1?Note: Round your intermediate calculations to 4 decimal places.