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Alex73 [517]
3 years ago
5

Cathrine Corporation acquired a machine for $26,000, and has recorded depreciation for 3 yearsusing the straight-line method ove

r a 6-year life and $2,000 residual value. At the start of the fourth year of use, Denver revised the estimated useful life to a total of 10 years. Estimated residual value declined to $0. 26000-2000=24000/6=4000*3=12000-26000=14000-0=14000/7=2000How much depreciation should Denver record in each of the asset’s last 7 years (that is, year 4 through year 10), following the revision?
Business
1 answer:
Gemiola [76]3 years ago
6 0

Answer:

$2,000

Explanation:

Net book value at the end of the 3rd year=26,000-((26,000-2,000/6)*3)

                                                                     =$14,000

Since the useful life of machine is now revised from the 6 years to 10 years, therefore the total remaining useful life of machine is now 7 years instead of 3 years and accordingly the depreciation from year 4 to year 10 shall be calculated as follows:

Depreciation per year from year 4 to year 10=*14,000-0)/7=$2,000

           

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William Ibbs, a professor at the university of California at Berkeley, found that high project management maturity results in lower direct costs of project management.

Project management is the process of directing the work of a team to achieve all project goals within given constraints. This information is typically documented in the project documentation created at the beginning of the development process. The main constraints are scope, time and budget.

Project management is the application of processes, methods, skills, knowledge and experience to achieve specific project objectives within agreed parameters and according to project acceptance criteria. Project management has the end result of being constrained by tight time frames and budgets.

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8 0
1 year ago
You buy a share of The Ludwig Corporation stock for $21.70. You expect it to pay dividends of $1.00, $1.16, and $1.3456 in Years
Vesnalui [34]

Answer:

g = 16%

dividends yield:

Year 1 4.60%

Year 3: 4.78%

<u>expected rate of return: </u>

year 1 20.6%

year 3 20.78%

<u></u>

Explanation:

<u>grow rate:</u>

D1 /D0 = g

1.16/1.00 - 1 = 0.16

1.3456/1.16 - 1 = 0.16

the grow rate is 16%

<u>dividend yield:</u>

dividends/stock price =  dividend yield

1/21.7 = 0,0460 = 4.60%

1.3456/28.15 = 0,04780 = 4.78%

<u>expected rate of return: </u>

dividend yield + grow rate

4.60% + 16% = 20.6%

4.78% + 16% = 20.78%

8 0
3 years ago
Look at pic for question and answers.
zubka84 [21]

Answer:

It is decreased by the sale amount

Explanation:

An income statement is a financial statement that communicates a business's profitability. An income statement lists the revenues and expenses incurred by a business in a period.

The sale of a company's asset may result in a loss or profit. A profit is treated as an income to the business, but a loss is an expense. When an asset is sold at a loss, business expenses increase. An increase in expenses reduces profits as reported in the income statement.

6 0
3 years ago
Last year, the House of Orange had sales of $826,650, net operating income of $81,000, and operating assets of $84,000 at the be
seropon [69]

Answer:

The company's turnover rounded to the nearest tenth: C) 9.5

Explanation:

Asset turnover helps investors understand how effectively companies are using their assets to generate sales. Asset turnover is calculated by using following formula:

Asset Turnover =  Total Sales or Revenue/ Average Total Assets  

where:

Average Total Assets = (Beginning Assets + Ending Assets )/2 = (Assets at the beginning of year  +Assets at end of year )/2

In the House of Orange:

Average Total Assets = ($84,000 + $90,000)/2 = $87,000

Asset Turnover = $826,650/$87,000 = 9.5

7 0
3 years ago
Which of the following decisions cannot be made at the margin?
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D.) Whether to order a pepperoni or a cheese pizza is a decision that cannot be made at the margin.

Making decisions at a margin is merely considering an option on top of your made decision. Cost and Benefit is a factor in thinking in a margin.

You have already decided to move. Your marginal decision is whether to move to Boston from Chicago,

You have already decided to spend the day on Saturday. Your marginal decision is whether to watch a movie or go hiking.

You have already decided to have a two-week vacation. Your marginal decision is whether to spend it on the shore or in town.

You have decided to order a pizza. Any flavor of pizza will still make you spend money. So there is no marginal decision needed.
8 0
3 years ago
Read 2 more answers
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