Answer:
It is a relatively easy method to apply.
Explanation:
When accounting for a subsidiary, equity method is followed, whenever the shareholding percentage is equal or more than 20%.
But here, the parent company uses, initial value method for internal reporting.
Under initial value method the value of investment in subsidiary is recorded at cost, and then adjusted at year end at fair value, this clearly shows the gain or loss at each year end from such investment as per market norms.
There is no statutory requirement to follow such initial value method for internal reporting.
The correct reason therefore, is:
It is a relatively easy method to apply.
Answer:
It is the answer B. "I will elevate my foot."
Explanation:
Answer:
(Competion____________ ) among buyers and sellers prohibits a single buyer or seller can dictate the price of a product or resource because others can undercut that price. The regulatory mechanism of the market system is ( competition___________ ). As the result, the ( _economic_________ ___power_____ ) is widely distributed. In other words, competition diffuses ( __economic________ ___power______ ) and limits the actions of any single seller or buyer.
Explanation:
Economic power refers to the ability of countries, businesses, or individuals to improve their standard of living, making decisions that benefit themselves alone, and reducing the ability of any outside force to reduce their freedom. Competition refers to the selling and buying of goods and services with others, who are also selling and buying the same goods and services. It balances economic power, preventing a single individual from monopolizing the market interaction.
Answer:
$1,300,000
Explanation:
Given:
Number of workstation = 60
Cost of each workstation = $100,000
Additional Cost = 20,000,000
Computation of total cost:
= Total work station cost + Additional cost
= ($100,000 x 60) + $20,000,000
= $6,000,000 + $20,000,000
= $26,000,000
Assume Depreciation rate = 5%
Deprecation = Total Cost x Depreciation rate
= $26,000,000 x 5%
= $1,300,000
