1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
oksian1 [2.3K]
3 years ago
13

Moreno Company purchased equipment for $450,000 on January 1, 2010, and will usethe double-declining-balance method of depreciat

ion. It is estimated that the equipment will have a 3-year life and a $20,000 salvage value at the end of its useful life. The amount of depreciation expense recognized in the year 2012 will be
Business
1 answer:
Mashutka [201]3 years ago
8 0

Answer:

Depreciation expense 2012= $31,851.85

Explanation:

Giving the following information:

Moreno Company purchased equipment for $450,000 on January 1, 2010. It is estimated that the equipment will have a 3-year life and a $20,000 salvage value at the end of its useful life.

To calculate the depreciation expense under the double-declining balance, we need to use the following formula for each year:

Annual depreciation= 2*[(book value)/estimated life (years)]

2010= 2*[(450,000 - 20,000)/3]= 286,666.67

2011= 2*[(430,000 - 286,666.67)/3]= 95,555.55

2012= 2*[(143,333.33 - 95,555.55)/3]= $31,851.85

You might be interested in
True or false? West African coastal countries have borrowed money from the World Bank and the International Monetary Fund.
Phantasy [73]
True, West African countries borrowed money fro the World Bank and the International Monetary Fund. West African countries are developing economies which similar to other developing economies in Africa and the rest of the world have taken loans and development funds from the IMF and the World Bank. 
4 0
3 years ago
Read 2 more answers
As a CEO, Anna is respected by her subordinates because she focuses on future business opportunities, responds quickly to market
Vilka [71]

Answer: Entrepreneurial leadership.

Explanation:

Anna is an Entrepreneurial leader, that is ever ready to take sensible risks and study the market trends to quickly identify changes in the market. An entrepreneurial leader is a leader that is willing to take risks to gain new achievements and is always identifying ways of improving themselves and team they lead.

8 0
3 years ago
The objective of present value when used to determine an accounting measurement for initial recognition purposes is to Capture t
rusak2 [61]

Answer:

The objective of present Value is to present a set of cash flows based on their estimated fair value; to help decision makers in assessing the viability or otherwise of an option of investments.

Values don't stay the same year on year, various influences act to most times make the same $ amount lessened by tomorrows valuation; some factors like inflation, obsolescence, opportunity cost of not investing in other activities (cost of capital)....all these play a role in determining time value of money.

Present value attempts to harmonize all these influences and present a fair value of our $ dollar estimate of future values based on the impact of these factors.

3 0
3 years ago
At the end of this month, Les will start saving $200 a month for retirement through his company's retirement plan. His employer
aleksklad [387]

Answer:

Amount per month (A) = $200 + $0.50 x $200 = $300

Interest rate (r) = 8.25% = 0.0825

Number of years (n) = 30 years

No of compounding periods in a year (m) = 12

Future value = ?

FV = A(1 + r/m)nm - 1)

               r/m

FV = $300(1 + 0.0825/12)30x12 - 1)

                       0.0825/12

FV = $300(1 + 0.006875)360 - 1)

                   0.006875

FV = $300(1.006875)360 - 1)

                 0.006875

FV = $300 x 1,568.218999

FV = $470,465.70

The correct answer is D

Explanation:

In this case, there is need to apply the formula for future value of an ordinary annuity on the ground that compounding is done monthly. In the formula, monthly deposit (A) is $300, number of years is 30 years and interest rate (r) is divided by 12 because compounding is done on monthly basis. The number of years is also multiplied by the number of times interest is compounded in a year.

7 0
3 years ago
Approximately how much interest will Karen owe on her credit card next month if the balance she carried over from the previous m
lord [1]

Answer:

Karen will owe an interest amount of=$36.75

Explanation:

<em>Step 1: Determine the total amount after a month </em>

The total amount compounded annually can be expressed as;

A=P(1+R/n)^(nt)

where;

A=total amount

P=principal amount

r=annual interest rate

n=number of periods the interest is compounded annually

t=number of years

In our case;

A=unknown

P=$2,450

r=18%=18/100=0.18

n=12

t=1/12

replacing;

A=2,450(1+0.18/12)^(12×1/12)

A=2,450(1+0.18/12)^1

A=2,450(1.015)

A=$2,486.75

<em>Step 2: Determine the interest amount after a month </em>

Interest amount=total amount-principal amount

where;

total amount=$2,486.75

principal amount=$2,450

replacing;

Interest amount=2,486.75-2,450=$36.75

The interest amount=$36.75

4 0
3 years ago
Other questions:
  • Which questions about risk should someone ask before making a big purchase? Check all that apply.
    9·2 answers
  • Taking a physical count of inventory
    11·1 answer
  • Aaron is a freshman in college who has not yet decided on his major. He is thinking about majoring in operations management and
    6·1 answer
  • Please ask a question of 50 points​
    6·2 answers
  • Supplies on hand at October 31 total $500. Expired insurance for the month is $100. Depreciation for the month is $50. Services
    6·1 answer
  • You’ve just joined the investment banking firm of Dewey, Cheatum, and Howe. They’ve offered you two different salary arrangement
    7·1 answer
  • After defining the problem that eCompeteUSA wants solved, you need to determine what type of research objective to pursue. What
    6·1 answer
  • Many businesses use find-a-hand, a professional staffing agency because of the employees’ expertise in recruiting and selecting
    7·1 answer
  • Which of the following is not a component included in a standard business plan?
    6·1 answer
  • Coronado Company reported net income of $69000 for the year. During the year, accounts receivable decreased by $8100, accounts p
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!