Answer:
a. Straight-Line method:
Year depreciation = (Cost - Residual value) / useful life
= (130,000 - 10,000) / 6
= $20,000
2019 = $20,000 2020 = $20,000
b. Double declining.
= Twice the rate of straight-line.
= 1 / 6 * 2
= 33%
2019 2020
= 130,000 * 33% = (130,000 - 42,900) * 33%
= $42,900 = $28,743
c. Units of Production:
Rate per unit = (Cost - residual) / Number of units in lifetime
= (130,000 - 10,000) / 1,000,000
= $0.12 per unit
2019 2020
= 180,000 * 0.12 = 140,000 * 0.12
= $21,600 = $16,800
Answer:
C, economies of scope between business units
Explanation:
A corporate-level strategy is a strategy that a firm adopts to measure the returns of the companies businesses having used a corporate level strategy as against what the result would e without the strategy.
In corporate-level strategy, a firm knows how each of its businesses are doing and if it should continue or not and therefore helps the firm the priority to be given to each of its businesses.
Cheers.
Answer:
Economies of scope
Explanation:
In the case of economies of scope, the efficiency should be attained via generating the variety of goods and services. In this the production cost is reduced at the time when different kinds of products are being produced
so as per the given situation, it is an example of the economies of scope
Therefore the same is to be considered and relevant
Answer: $6,891
Explanation: This question requires that the principle amount be calculated. This is the current value of the lump sum saving on the first day, before interest has been compounded. In essence this is the original savings value. To calculate this value, the compound interest formula can be used. However this formula needs to be manipulated so that the principal value, P, is determined:
P = 
Where:
P = Principal value: the original value of the saving on the first day, before interest has been taken into account.
A = Amount: The amount at the end of a specific period.
i = Rate of return: the profit, expressed as a an interest rate, that the savings earns periodically.
n = The amount of time that the savings is invested for.
When this formula is applied then the following answer is computed:
P = ![[\frac{2,500}{(1 + 0.076)^{1} }] + [\frac{2,500}{(1 + 0.076)^{2} }] + [\frac{3,000}{(1 + 0.076)^{3} }]](https://tex.z-dn.net/?f=%5B%5Cfrac%7B2%2C500%7D%7B%281%20%2B%200.076%29%5E%7B1%7D%20%7D%5D%20%2B%20%5B%5Cfrac%7B2%2C500%7D%7B%281%20%2B%200.076%29%5E%7B2%7D%20%7D%5D%20%2B%20%5B%5Cfrac%7B3%2C000%7D%7B%281%20%2B%200.076%29%5E%7B3%7D%20%7D%5D)
= $6 890,887434
Rounded off to $6,891
I think Larry could sue for misrepresentation about the true qualities of the lawnmower he was sold.In other words, finding out that his new lawnmower is not self-propelled, does not mulch and only has a 90 day instead of a 5 year warranty he is totally within his rights to sue in small claims court for his money back at least.
