Answer:
1. $3375
$3375
2. $4347
$3456
3 $7300
$5475
Explanation:
Straight line depreciation expense = (Cost of asset - Salvage value) / useful life
( $29,200 - $2,200,) / 8 = $3375
depreciation expense each year is $3375
Depreciation expense using the double declining method = Depreciation factor x cost of the asset
Depreciation factor = 2 x (1/useful life) = 2/8 = 0.25
2020 = 0.25 x 29200 = 7300
2021 = 0.25x( 29200 - 7300)
Activity method based on output = (output produced that year / total output of the machine) x (Cost of asset - Salvage value)
Answer:
The answer is: remain the same
Explanation:
The marginal utility of a good or service is how much better we feel when consuming an extra unit of that good or service. For example if we are very thirsty, the marginal utility of consuming a can of Coke is very large, but once our thirst is quenched, an extra can of Coke will not provide use with that much satisfaction as before.
If the price of a substitute good increases, the marginal utility of the good whose price didn't change, will remain the same.
Let's go back to the Coke example. An extra can of Coke will give me 5 more satisfaction units (I'm assuming I can measure satisfaction) and an extra slice of pizza will give me 7 more units of satisfaction. If the price of Coke increases from 50 cents to $1, its marginal utility will decrease. I will buy more pizza because the satisfaction I get from drinking Coke is now smaller.
B. Participative management and empowerment
