Answer: The meaning of depletion to allocate the cost of extracting natural resources like oil and minerals from the earth.
Explanation:
- The term depletion is a concept generally we use in tax and accounting.
- The meaning of depletion is to move the cost of extracting natural resources like oil and minerals from the earth to the income sheets.
- It is a non-cash expense that lowers the cost value of an asset gradually scheduling charges to the income.
- To evaluate the depletion per unit we divide the total cost less salvage value by the total number of estimated units.
Answer:
Net income for the year = $257,000
Explanation:
Retained earnings for the year= Net income - dividends paid.
Since no dividends were paid, retained earnings for the year = net income for the year. At the end of each accounting period, retained earnings are reported on the balance sheet, and the retained profits for the year are added to the beginning balance of retained earnings, to give a cumulative ending balance of $2,499,000.
therefore retained earnings for the year = ending retained earnings balance - beginning retained earnings balance = $2,499,000.-$2,242,000= $257,000.
Net income for the year is thus = $257,000 since no dividends were paid.
The correct answer is B:They would receive only a partial benefit for as long as they collect Social Security. The age at which Americans are eligible to receive full Social Security benefits is 65. The earliest age, assuming one is not disabled, one can apply for Social Security is 62. However, if an individual claims Social Security early between the ages of 62-64, it will be at a reduced rate.
