On January 1, 2007 a Medical Testing Laboratory acquired new blood processing equipment costing $400,000. The equipment has an estimated useful life of 10 years and an estimated residual value of $50,000. After making all necessary calculations and entries on December 31, 2008, what is the accumulated depreciation to date and book value of the equipment? (Assume the straight-line method is used.)
Accumulated Depreciation Book Value as of as of December 31, 2008 December 31, 2008
$70,000 $330,000
$70,000 $280,000
$35,000 $365,000
$35,000 $315,000