Answer:
Straight line method rate = 1/ Number of years * 100 = 1/25*100 = 4%
Double declining balance depreciation = 2*Straight line method rate*Book value
First Year depreciation = 8%*$960,000
First Year depreciation = $76,800
Second year depreciation = 8% * (Book Value as on 1st year - First Year depreciation)
Second year depreciation = 8%*($960,000-$76,800)
Second year depreciation = 8%*$883,200
Second year depreciation = $70,656
D. many families are left below the poverty line. The government issues new poverty guidelines each year as a guideline and simplification of the poverty threshold for administrative use. this can be used to determine financial eligibility for some federal programs.
Answer:
a. Fixed costs for businesses are the ones that don't depend on Q. Fixed costs= 20
b, thus. dC / dQ= d(20 + 2Q^2)/dQ= 4Q
c. Many companies say the economy competes perfectly. For such a scenario, the company is a price-taker and would demand the same $10 price as other firms on the market to sell its products.
d. Most companies expect a reasonably open market. Hence, MR= $10 in size.
Max profit: MC= MR, then 4Q= 10= > Q= 10/4= 2.5 Optimum production level to optimize profits= 2.5 units e. Profits= Sales-Expenses= price* Q-( 20+ 2Q^2)= 10* 2.5-20-2* (2.5)^2= 25-32.5 = -7.5 Profits are thus-$ 7.5 ($7.5 loss).
f. The organization will continue to survive in the short term because $7.5 losses are smaller than the $20 fixed expense. In other words, the company can pay more than its rising output expenses, and will thus continue to work in the short run.
