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3 years ago

Depreciation is a _____, a cost that cannot be affected by any future action.

2 answers:

7 0

Depreciation is a sunk cost. It is the value lost on an asset after consumption. In accounting, depreciation cost qualifies as a sunk cost because it is already lost and cannot be recovered. For that reason, it is correct to ignore depreciation cost when determining the future course of a business.

Allisa [31]3 years ago

6 0

Correct Answer is B, Sunk Cost.

Depreciation is a Sunk Cost. A cost that cannot be affected by any future action.

Depreciation is basically a cost of an asset that reduces over time.

Sunk Cost is the cost that has already acquired and cannot be pulled through.

So Depreciation is a sunk cost. A cost that has already been incurred and cannot be recovered. All assets depreciate over time.

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Thornton Universal Sales' cost of goods sold (COGS) average $2,000,000 per month, and it keeps inventory equal to 50% of its mon

mars1129 [50]

Answer:

Inventory conversion period will be 15.20 days

Explanation:

Cost of goods per month = $2000000

So cost of good for an year = 12 × $2000000 = $24000000

Now it is given that inventory is 50 5 of monthly COGS

So average inventory = 50 % of $2000000 = $1000000

Total days in an year = 365 days

So COGS per day $=\frac{24000000}{365}=$65753.4246$

Now inventory conversion period $=\frac{average\ inventory}{COGS\ per\ day}=\frac{1000000}{65753.4245}=15.20days$

Inventory conversion period will be 15.20 days

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3 years ago

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3 years ago

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Which strategic plan model is useful for new or small firms?

GREYUIT [131]

What is this for ? What subject

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3 years ago

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Cash receipts from sales of property plant and equipment (ppe)are cash flows arising from?

VMariaS [17]

Answer:

Investing activities

Explanation:

Investing activities refer to the activities of purchasing and selling long-term assets or other investment instruments. Cash flow from investing activities is among the three primary sources of a business's cash flows as recorded in a cash flow statement.

Other activities that are considered investing activities include

Acquisitions of other firms or businesses
Incomes from the sale of other businesses
Purchases or sale of marketable securities such as shares, bonds, etc

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3 years ago

Last year, you purchased a stock at a price of $78.00 a share. Over the course of the year, you received $2.70 per share in divi

lutik1710 [3]

Answer:

5.65%

Explanation:

Last year a stock of $78.00 was bought

During the period of one year $2.70 was received in dividend and inflation averaged 3.2%

Today the shares was sold for $82.20

The first step is to calculate the nominal return

= ($82.20-$78.00+$2.70)/$78.00

= 6.9/78

= 0.0885×100

= 8.85%

Therefore, the approximate real rate can be calculated as follows

= 8.85%-3.2%

= 5.65%

Hence the approximate real rate of return on this investment is 5.65%

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3 years ago