I feel stressed reading this question as it has no context but the question is asking for your opinion. there really is no wrong answer
Answer:
The depreciation expense for 2015 is $2,000
Explanation:
The computation of the depreciation expense is shown below:
= (Original cost - residual value) ÷ useful life
= ($35,500 - $4,000) ÷ 7 years
= 4,500
The depreciation for three years would be
= 4,500 × 3 years
= $13,500
The remaining amount would be
= $35,500 - $13,500
= $22,000
So, the depreciation expense for 2015 would be
= ($22,000 - $4,000) ÷ 9 years
= 2,000
Answer:
The Central Bank is trying to increase money supply.
Explanation:
When the Central Bank makes moves to increase reserves, it means that it is simply trying to mop up excess cash from the economy to fight inflation. Spiking inflation means that the power of a currency is gradually being eroded. The Central Bank cannot allow this to happen so it hits the "Reduce Money In Circulation" button. It does this by reviewing upwards, the money reserves which commercial banks must hold with the Central Bank.
It can also increase the rate at which it lends to the Commercial Banks and Investment houses. Commercial Banks, in turn, transfer the additional cost of borrowing to businesses who will seek loans. This slows down the rate at which money is pumped into the economy.
In the question, however, we notice that the Central Bank has enervated its reserves. This means that it is pumping more money into the economy. This economic move may have been executed to prevent the economy from slipping into a recession or simply to stimulate the economy.
In the short run, increased money supply means, businesses have more access to funds from commercial banks. More funds mean, more investment. Increased investment spending means the businesses will need to expand operations, hire more staff, and the multiplier effect goes on and on.
Cheers!
Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Applying Factory Overhead Bergan Company estimates that total factory overhead costs will be $620,000 for the year. Direct labor hours are estimated to be 80,000.
A) Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 620,000/80,000= $7.75 per direct labor hour
B) Bergan Company accumulated 2,500 hours of direct labor costs on Job 200 and 3,000 hours on Job 305.
Job 200:
Allocated overhead= 2,500*7.75= $19,375
Job 305:
Allocated overhead= 3,000*7.75= $23,250
C) Job 200 19,375
Job 305 23,250
Allocated Overhead 42,625
