Answer:
The answer is "Complete but not absolutely right".
Explanation:
In production technique segments, it should first calculate the cost of fuel per mile and afterward measure the depreciation.
Calculating Depreciation:
Answer:
Using the units-of-production method, the amount of depreciation expense would the company report in the income statement prepared for the year-ended October 31, 2018 = $ 228899
Explanation:
Given
Acquisition Cost of Equipment = $ 517,000+ $ 16700= $ 533,700
Total units of production= 29,700 hours
Residual Value = $ 6700
Units of Production= 12,900 hours
Formula:
Depreciation per unit= (Cost -Salvage value) / Total units of production* Units of Production
Depreciation per unit= ($ 533,700 - 6700/ 29700)*12900
Depreciation per unit=($ 52,7000 / 29700)*12900
Depreciation per unit=( 17.744)*12900
Depreciation per unit= 228898.98= $ 228899
As units of production are given we do not need to calculate it for half year. The depreciation is calculated for units of production.
Answer: b. neither the earnings nor the dividends of the investee.
Explanation:
When the cost method is used to account for a stock investment, it means that in the books, the stock is to be recorded at the price it was purchased for.
This means that even if earnings and dividends accrue on the stock, it is not to change in value but should stay being recorded at the price it cost to acquire.
Answer:
can be effectively eliminated by portfolio diversification.
Explanation:
The systematic risk is the risk where the loss is associated with the entire market while on the other hand, the unsystematic risk is the risk in which the loss is associated with the particular segment
Therefore according to the given options, the unsystematic risk is the risk that is eliminated by diversifying the portfolio i.e investing the amount in different companies rather investing in one company
Answer:
-$2,350
Explanation:
In this question, we have to compare the cost which is shown below:
If we considered the reworked cost, then the sales would be
= Sales - reworked cost
= $55,700 - $1,750
= $53,950
And the scrap value is $56,300
So, the financial disadvantage would be
= Sales without reworked cost - scrap value
= $53,950 - $56,300
= -$2,350
All other information which is given is not relevant. Hence, ignored it
