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Vanyuwa [196]
3 years ago
7

Cambodian Import Company purchased a depreciable asset for $160,000 on April 1, 2014. The estimated salvage value is $40,000, an

d the estimated useful life is 5 years. The straight-line method is used for depreciation. What is the balance in accumulated depreciation on March 1, 2017 when the asset is sold?(a)$66,000.(b)$70,000.(c)$72,000.(d)$186,667.
Business
1 answer:
sweet [91]3 years ago
7 0

Answer:

The correct answer is B.

Explanation:

Giving the following information:

Cambodian Import Company purchased a depreciable asset for $160,000 on April 1, 2014. The estimated salvage value is $40,000, and the estimated useful life is 5 years. The straight-line method is used for depreciation.

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (160,000 - 40,000)/5= 24,000

Accumulated depreciation= 24,000*2 + 24,000/12*11= $70,000

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Ierofanga [76]

Answer:

D. Increase both assets and equity by​ $180

Explanation:

When a service is done on account, revenue will be recognized but the corresponding assets is accounts receivables and not cash. Hence the transaction will increase the company's revenue and assets balances . Revenue is turned into equity through retained earnings.

The accounting equation is

assets = liabilities + equity

This transaction will increase assets and equity be $180 each.

5 0
3 years ago
Stock market prices plunged tremendously in 1929, contributing to the Great Depression as the AD curve shifted greatly to the le
Talja [164]

Answer:

b. expectations that stock prices would fall further could shift the AD curve further to the left.

Explanation:

The AS/ AD model stated the aggregate supply and aggregate demand model which stated level of prices and its output by maintaining the relation between the supply and demand

As in the given situation, it is mentioned that the aggregate supply of short run decline and that brings deflation and it moves the economy back to the output i.e potential. It impacts the expectation of stock prices would result in declines and further it shifted the AD curve to the left side

Hence, the correct option is B.

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3 0
3 years ago
Big firms fail to see disruptive innovations as a threat because:
stich3 [128]

Answer:

A) they primarily focus on the bottom line.

Explanation:

Most disruptive innovations are developed by entrepreneurs and relatively small firms. Many times these smaller firms end up being purchased by larger corporations that further develop or exploit these innovations.

That is true even for former entrepreneurs, like the founders of Google, who after becoming billionaires forgot about innovating, and decided that it was easier to purchase startups than to develop new services themselves.

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3 years ago
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Inessa [10]
<h2>The given statement is false. </h2>

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