Answer: $1392
Explanation:
The depreciation rate under straight line is =1/5=0.2
The depreciation rate under double declining is = 0.2 × 2 = 0.4
Depreciation expense for the first year = 0.4 × $5800 = $2320.
At the beginning of year two, net book value = $5800 - $2320 = $3480
Depreciation expense for year two = 0.4 × $3480 = $1392
Answer:
for rate 11.2 percent ,principal = 8419.47
for rate 5.6 percent , principal = 86123.90
Explanation:
given data
amount wish A = 1,000,000
time t = 45 year
rate r1 = 11.2 % = 0.112
rate r2 = 5.6 % = 0.056
to find out
how much do you have to invest today
solution
we know here amount formula that is
amount = Principal ×
..........................1
here r is rate and t is time so
for rate r1 principal amount is by equation 1 we get
amount = Principal ×
1,000,000 = Principal ×
principal = 8419.47
and for rate r2 principal is from equation 1
amount = Principal ×
1,000,000 = Principal ×
principal = 86123.90
Salutary products are products that have low immediate appeal but may benefit consumers in the long run.
<h3>What is Long Run?</h3>
There is a time frame known as the long run during which all cost and production elements are erratic. In the long run, businesses modify every expense, but in the short term, they can only affect prices by changing their production levels. A company may also anticipate competition in the long run, even though it may currently have a monopoly in the near term.
A long run is a span of time during which a manufacturer or producer can make production-related decisions with some latitude. Depending on the predicted profits, businesses can either increase or decrease their production capacity, or enter or leave a certain industry.
In order to achieve an equilibrium between supply and demand, firms that look at the long term understand that they cannot change output levels.
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Poor distribution of resources, when demand increases and supply cant keep up, and or government intervention.