The reason why there are few productions than distribution or services because in production industries, they needed large initial investment to start with the production to keep it from going, because if they are not able to invest, it would likely lead them to close or fail, making up to the reason as to why there are only few productions.
Was horrible for growing crops if I remember correctly
Good because I'm the best lol
Answer:
a) $9,000
b) $3,000
Explanation:
The calculation of the depreciation expense for each of the following cases
a)
As we know that
= (Purchase cost of machinery - estimated salvage value) ÷ (useful life)
= ($80,000 - $8,000) ÷ (8 years)
= ($72,000) ÷ (8 years)
= $9,000
b) Since the asset purchased as on Sep 1, 2020 so the depreciation expenses would be charged for four months i.e. From September to December.
Also at the same time we assume the books are closed as on Dec 31,2020
Therefore, the depreciation expense is
= $9,000 × 4 months ÷ 12 months
= $3,000