Answer:
Depreciation expense for May $1000
Explanation:
The depreciation expense is the systematic allocation of the cost of asset over the estimated useful of the asset. The units of production method of depreciation allocates the depreciation based on the level of activity for which the asset is used in a particular year divided by the activity expected throughout the useful life of the asset.
The depreciation is calculated as follows,
Depreciation expense = (Cost - Salvage value) * Activity in units for the period/Activity in units over the total estimated useful life of the asset
Depreciation expense - May = (220000 - 60000) * 5000/800000
Depreciation expense - May = $1000
I think for part B is C but I’m like 27% sure
Answer:
achieve economies of scope
Explanation:
Economies of scope -
It is the concept in economics , which is the reduction in the total cost of the production , when some products are produced collectively rather than individually , is known as economies of scope .
Same case is given in the question , where the management have organised medical and dental practices via some unique training program for the staff .
Answer: <em>(C.) $2,005</em>
Explanation:
Given :
Money Co. made a cash outflow of $194,000 for the $200,000 loan Money gave to Home Co.
The book value of the loan is $194,000.
The stated rate is 11%.
Hence they will receive an effective interest rate of 12.4% on cash outflow.
∴
Income from the loan = Book value × Effective interest rate × No. of months of the year
= $194,000 × 0.124 × 
= $2,004.67