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Answer:
B) A gain would be less or a loss would be greater using straight-line depreciation.
Explanation:
In straight line method of depreciation there is a fixed amount of depreciation, and in double declining method the rate is double of straight line method,
Let us take an example,
Cost of asset = $500,000
Selling price at end of 2nd year = $300,000
Straight line depreciation = $100,000 for each year i.e. $500,000/5
Double declining method rate = ($100,000/$500,000) 100
2 = 40%
Therefore value at end of second year
Straight line = $500,000 - ($100,000 2 ) = $300,000
Double Declining method = ($500,000 -40%) - 40% = $180,000
In case of sale at $300,000
Profit shall be
Straight line = $300,000 - $300,000 = 0
Double Declining = $300,000 - $180,000 = $120,000
Now, there will be more profit in double declining that is gain is less in straight line and losses would be greater in straight line thus statement B is correct.
Answer:
a) unemployment rate = 15
b) unemployment rate = 2.5
Explanation:
unemployed people are those who are willing and available to work and have actively been seeking a job in the past four weeks. This accurately describes the 12 people who are willing, able and looking for work but cannot find jobs. To calculate the unemployment rate in percentage, the following formula is used:
Where:
a) Number of unemployed = 12
Labour force = 80 (number of people over 16 years of age)
b) if 10 of the unemployed people get discouraged and give up looking for work, the number of unemployed becomes 2 persons, (12 - 10 = 2).