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MaRussiya [10]
3 years ago
14

Consider a service company that provides carpet cleaning and uses straight-line depreciation. Classify the cost of the depreciat

ion on the carpet cleaning machines.
a. Fixed
b. Indirect
Business
1 answer:
mel-nik [20]3 years ago
4 0

Answer:

Both :

a. Fixed  and,

b. Indirect

Explanation:

The depreciation expense on production machinery form part of the product or service cost.

The cost however, can not be traced to the product or service that is why it is an Indirect cost as opposed to the direct costs which can be traced directly on the product or service.

Straight line method charges a fixed amount of depreciation thus the depreciation is a fixed charge.

You might be interested in
Which of these is NOT an example of price discrimination? retirees getting a discount at a local movie theater soup companies se
Gre4nikov [31]

Answer:

A novel printed in paperback that sells for more than the same book in an electronic format

The example contains two different products, one is novel in paper form, and other in electronic form of the novel. Price discrimination occurs when we charge different prices for the same product from different customers. They are completely two different forms of the product which means the product is not identical in term of its form.  

Explanation:

Above mentioned example is definitely does not fall under price discrimination.

<em>Price Discrimination</em>: is offering different prices to different customers for the same good. All of the other examples may falls under price discrimination because they contain same product but for different customers namely, discount at movie theater, soup companies sending coupons, and for the same drug they are charging different prices accordingly.

 

5 0
4 years ago
Yen grants his cousin, art, a franchise in yen's sandwich shop. yen writes the agreement so that he controls every detail of art
Zolol [24]
In this case, Yen is still considered to be liable with the accident and that she must provide the needs of the customer due to the injuries that the customer receives because even if Art is in charge with the shop, she is still considered to be the owner which makes her liable with the accident.
4 0
3 years ago
Ptarmigan Company produces two products. Product A has a contribution margin of $289.20 and requires 12 machine hours. Product B
jekas [21]

Answer:

Product B

Explanation:

Calculation to determine the Product that is most profitable.

Product A Product B

Contribution margin per unit $289.20 $221.40

÷ Machine hours 12 machine hours 9machine hours

Contribution margin per bottleneck hour 24.1 24.6

(Product A= 289.20/12=24.1)

(Product B =$221.40/9=24.6)

Therefore based on the above calculation PRODUCT B is the most profitable

3 0
3 years ago
Which job category is likely to deal with primarily supply chains
DiKsa [7]
Supply Chain Management
8 0
4 years ago
Accounts receivable from sales transactions were $45,323 at the beginning of the year and $67,072 at the end of the year. Net in
leonid [27]

Answer:

a.$121,375

Explanation:

Increase in account receivable means there is more credit sales were made during the year than the cash received from the customers. So, cash will be used in the period by account recivables.

According to indirect method cash flow will be adjusted as follows

Net Income                                            $143,124

Net Increase in Rceivables                  ($21,749)

( $67,072 - $45,323)                            <u>                 </u>

Cash Flow from Operating Activites   <u> $121,375</u>

8 0
4 years ago
Read 2 more answers
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