Question: 24
(Choose 1 answer)
(2313) Realistic Company purchased a new truck on January 1, 20X1. The truck cost $20,000, has a
four-year life, and a $4,000 residual value. The company has a December 31 year end. If Realistic Company
depreciated the truck by the straight-line method. How much should Realistic report as the book value of the
truck at the end of 20X3?
A. $1,600
B. $4,000
C. $8,000
D. $16,000
E. $15,000
