16. ten years ago, xl corp purchased equipment at a cost of $250,000. the equipment was depreciated based on…

16. ten years ago, xl corp purchased equipment at a cost of $250,000. the equipment was depreciated based on a salvage value of $0 at the end of a useful life of 10 years. if the equipment continues to be used in the assets 11th year, what amount of depreciation expense will be recorded in the 11th year of use? select... $25,000 $0 $22,727
Answer
Explanation:
Step1: Determine depreciation method
The equipment has a useful - life of 10 years and salvage value of $0. Assuming straight - line depreciation, the annual depreciation is calculated over the 10 - year useful life.
Step2: Analyze depreciation after useful life
Once the useful life of 10 years is over and the asset has been fully depreciated (since salvage value is $0), no further depreciation is recorded.
Answer:
$0