Answer:
second year depreciation 13,072
Explanation:
190,000 - 10,000 = 180,000 ammount subject to depreciation
then we do:
180,000/75,000 = 0.688 rate per bolt
to get the depreciation for the second year:
19,000 x rate = 19,000 x 180,000/75,000 = $13,072.00
doing it in a single step avoid rounding errors.
Answer:
Explanation:
• Variable costs are costs that varies with activity level. It means that these costs changes as more and more goods and services are produced by a company. Total variable cost changes with change in output produced by a firm in the long run.
Examples of variable costs are costs of raw materials used in producing goods, direct labor costs, sales commission etc.
• Fixed costs are costs that does not vary with activity level. This means that these costs remains the same as more and more goods are produced by a company. The total fixed cost does not change with changes in output produced by a company in the short run.
Examples are rent payments, salaries, depreciation.
•Mixed costs are costs that have components of both fixed and. variable costs. The fixed part of mixed cost remains unchanged as activity level increases or decrease while the variable part changes with activity level. The fixed part of a total cost function of a mixed cost remains the same as activity level increases in the short run, while the variable part changes with output level in the long run.
Examples are utilities, insurance, operating license
•Step costs. These are costs that remains the same at an activity level but increases or decreases when the threshold of an activity is achieved.
Example is a factory production supervisor salary
Answer: See explanation
Explanation:
Your question is not complete. Here is the completed question:
The Treasury bill rate is 6%, and the expected return on the market portfolio is 10%. According to the capital asset pricing model, what is the risk premium?
The risk premium will be the difference between the market portfolio and the treasury bill rate. This will be:
= 10% - 6%
= 4%
Answer: $41,600
Explanation: The percentage of receivables method is used to evaluate the amount of bad debt the company can experience in future. Under this method, the bad debt expense is the difference between the ledger balance and the actual balance of bad debt expense.
In the given case, we can calculate it as follows :-
Bad debt expense = estimated uncollectible accounts - allowance
= $47,000 - $5,400
= $41,600
Answer:
$300
Explanation:
The total value gained V is given by sum of the value gained when buying the book (B) added to the value gained when selling the book (S).
The value gained at purchase is given by the difference between the willingness to pay and the actual amount paid:

The value gained when selling the book is given by the difference between the amount received from selling and the value of keeping the book:

The total value gained is:

You have gained $300 in total value.