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zzz [600]
3 years ago
13

Which of the following statements is true regarding depreciation methods?

Business
1 answer:
r-ruslan [8.4K]3 years ago
7 0

Answer:

The correct answer is letter "D": The use of a higher estimated life and a higher residual value will lower the annual amount of depreciation expense recognized on the income statement.

Explanation:

Depreciation distributes the cost and cost over the useful life of the assets of tangible and real assets. A business could depreciate an asset over a period of up to thirty years, depending on the type of asset it is. There are many depreciation methods but, among the most common we can find the <em>Straight-line method, the Double Declining Balance method</em>, and <em>the Units of Production method</em>. As long as the estimated life of the asset and its residual value is high, the amount filed for the depreciation will be lower.

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Which job requires a college degree?
nadya68 [22]
Geochemist is the answer your looking for
4 0
3 years ago
Read 2 more answers
An agent is discussing an equity index annuity purchase with a client. The agent explains that there are several which she feels
Vesna [10]

Answer:

B) should pack her bags for the trip; she earned it

Explanation:

In this scenario, it can be said that if the client purchases that annuity, the agent should pack her bags for the trip; she earned it. Since the annuity that has been recommended by the agent is offering her an incentive, and the agent fully disclosed that fact to the client, then she did her duty correctly. In the case that the client decides to purchase the annuity, they do so with full knowledge of the potential conflict of interest.

4 0
3 years ago
A firm incurs $400 to manufacture a television. In the market, customers are willing to pay a maximum of $600 for the television
kotykmax [81]

Answer:

D. Economic value created.    

Explanation:

The reason is that the economic value created is the difference between the price the customer is willing to pay and the cost that the product actually costs to the firm.

Following is the formula for calculation of economic value created:

Economic Value Created = Value customer willing to pay   -  Cost of product

Here the television costs $400 to the firm and the customer is willing to pay $600 for the television. So by putting the values we have:

Economic Value Created = $600 - $400 = $200

So the correct option is option D.

5 0
3 years ago
Katie had a high monthly food bill before she decided to cook at home every day in order to reduce her expenses. She starts to s
Orlov [11]

Answer:

The c orrect answer is A.

Explanation:

Giving the following information:

Annual deposit= 1,410

Annual interest rate= 5%

Number of years= 8 years

To calculate the future value of her investment, we need to use the following formula:

FV= {A*[(1+i)^n-1]}/i

A= annual deposit

FV= {1,410*[(1.05^8)-1]}/ 0.05

FV= $13,464.24

4 0
4 years ago
When I was considering what to do with my $10,000 lottery winnings, my broker suggested that I invest half of it in gold, the va
77julia77 [94]

Answer: $20,478.78

Explanation:

In 14 years the investment will be,

Gold

10,000/2 = 5000

Then use the compound interest formula

5000 * (1+0.07)^ 14 = $12,892.67

For Certificates of Deposits.

Use the Compound interest formula

Rate and period are in years. Convert to semi annual basis.

3%/ 2 = 1.5%

14 * 2 = 28 periods

= 5000 ( 1+ 0.015) ^ 28

= $7,586.11

Add both

=$12,892.67 + $7,586.11

= $20,478.78

5 0
3 years ago
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