Answer:
a. 0.05
b. $68,750
a. $1,150,000
b. 0.1
c. $115,000
Explanation:
Depreciation expense using the double declining method = Depreciation rate x cost of the asset
Depreciation rate = 2 x (1/useful life) = 2 / 40 = 0.05
The double-declining-balance depreciation for the first year = 0.05 x $1,375,000 = $68,750
Straight line depreciation expense = (Cost of asset - Salvage value) / useful life
The depreciable cost = Cost of asset - Salvage value = $1,450,000 - $300,000 = $1,150,000
The straight line rate = 1 / useful life = 1 / 10 = 0.1
The annual straight-line depreciation = $1,150,000 x 0.1 = $115,000
Answer:
$723,000
Explanation:
Calculation to determine what was Jennings reported net income in 2020
Using this formula
2020 Net income=(2019 Retained earnings-2020 Retained earnings)+ Total Dividend
Let Plug in the formula
2020 Net income=($2,681,000-$2,308,000)+$350,000
2020 Net income=$373,000+$350,000
2020 Net income=$723,000
Therefore Jennings reported net income in 2020 is $723,000
The answer is B. Thanks for your question! Don't forget to rate and give me the brainliest answer! Then, I can help you with all your problems! ^-^ ~
Answer:
Proposal A
3.75 years
Proposal B
3.375 years
Explanation:
<u>Proposal A</u>
Payback = 3.75 years
Year Cash Inflow Initial Investment Balance Year Count
0 0 1,050,000
1 $280,000 770,000 1
2 $280,000 490,000 2
3 $280,000 210,000 3
4 $280,000 0 *3.75
* 1050,0000 / 280,000 = 3.75 years
<u>Proposal B</u>
Payback = 3.375 years
Year Cash Inflow Initial Investment Balance Year Count
0 0 1,050,000
1 $350,000 700,000 1
2 $3150,000 385,000 2
3 $280,000 105,000 3
4 $280,000 0 *3.375
* ( 3 + ( 105,000 / 280,000 ) ) = 3.75 years
Answer:
a differentiation advantage
Explanation:
This scenario best illustrates a differentiation advantage. This is basically when a company is able to offer a product that, despite being the same as the competitor's product, is slightly different or offers something that the competitors do not. This small difference is what attracts the customers and increases profits. In this case, Fashion Mart Corp is differentiating their product by providing a guarantee of quality, which the competitors offering similar products cannot offer.
