The Asset Section of the January 1, 20X9, Balance Sheet

Multiple Choice

The asset section of the January 1, 20X9, balance sheet of Big Valley Company includes a machine which was acquired on January 1, 20X5.The machine's original cost was $500,000, and the estimated life was determined to be 10 years.The estimated residual value was zero, and the straight-line method of depreciation was chosen.The book value of the machine as of January 1, 20X9, is _____.

A) $500,000
B) $450,000
C) $250,000
D) $300,000