Answer: Straight line method of depreciation
Explanation: Under the straight line method of depreciation the asset is expensed over its useful life. In this method, depreciation or amortization is calculated by dividing the difference of initial cost and salvage value of the asset from its useful number of years.
This method is not commonly used for assets having longer term period but still some business entities use it as it is easy to calculate.
Answer:
The correct answer is letter "B": has a physical trading floor.
Explanation:
An auction market is one where buyers and sellers simultaneously offer reasonable bids. The price of the asset being traded is the highest price a buyer is willing to pay and the lowest price a seller is willing to accept. Even with the spread of technology, some auctions can be done online. Though, the auction always has a trading floor.
Answer:
Option C is correct
Explanation:
The cash proceeds from the bond issuance is 96% of its face value i.e 96%*$1,000,000=$960,000
The discount on bonds payable=Face value-cash proceeds
The discount on bonds payable=$1,000,000-$960,000=$40,000
The appropriate entries would be to credit bonds payable with $1000,000 while cash and discount on bonds payable are debited with $960,000 and $40,000 respectively
Answer:
B. A local cable company.
Explanation:
Since, Damon often identifies causes of problems with telecommunication equipment. The company that is most likely to be his employer is a local cable company.
Answer:
b) Indirect cost
Explanation:
Accounting department is a service department, providing services to all business departments of the organisation, thus cost of accounting department cannot be attributed directly to any specific activity. Thus cost of accounting department to all business centers will be an indirect cost.
