The chester company has just purchased $40,900,000 of plant and equipment that has an estimated useful life of 15 years. suppose at the end of 15 years this plant and equipment can be salvaged for $4,090,000 (1/10th of its original cost). what will be the book value of this purchase (excluding all other plant and equipment) after its first year of use

Wilson company paid $5,000 for a 4-month insurance premium in advance on november 1, with coverage beginning on that date. the balance in the prepaid insurance account before adjustment at the end of the year is $5,000, and no adjustments had been made previously. the adjusting entry required on december 31 is: (a) debit cash. $5,000: credit prepaid insurance. $5,000. (b) debit prepaid insurance. $2,500: credit insurance expense. $2500. (c) debit prepaid insurance. $1250: credit insurance expense. $1250. (d) debit insurance expense. $1250: credit prepaid insurance. $1250. (e) debit insurance expense. $2500: credit prepaid insurance. $2500.