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Usimov [2.4K]
3 years ago
12

On January 1, 2018, Hobart Mfg. Co. purchased a drill press at a cost of $33,600. The drill press is expected to last 10 years a

nd has a residual value of $6,400. During its 10-year life, the equipment is expected to produce 500,000 units of product. In 2018 and 2019, 27,000 and 88,000 units, respectively, were produced.
Required:
Compute depreciation for 2018 and 2019 and the book value of the drill press at December 31, 2018 and 2019, assuming the sum-of- the-years'-digits method is used.
Business
1 answer:
dmitriy555 [2]3 years ago
8 0

Answer:

2018 = $4,945.46

2019 -  $4,450.91

Explanation:

sum-of- the-years'-digits depreciation expense =( number of useful lives remaining / sum of the years ) x (Cost of asset - residual value)

sum of the years = 1 +2 +3 + 4 + 5 + 6 + 7 + 8 + 9 + 10 = 55

depreciation expense in 2018 = (10 / 55 ) x ( $33,600 - $6,400) = $27,200 X 0.181818 = $4,945.46

depreciation expense in 2018 = (9 / 55 ) x ( $33,600 - $6,400) = $27,200 X 0.163636 = $4,450.91

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Answer:C. Product-market diversification strategy

Explanation: Product-market diversification strategy is a business strategy where a company invests in different product lines like FOOD,MEDICALS, ENGINEERING,CEMENT etc and in different markets. This will make the Business organisation to be very versatile and able to over come certain harsh economic conditions. Many international and multinational companies have pursued this strategy to enhance their overall business growth and development.

3 0
3 years ago
Jerry, a partner with 30% capital and profit interest, received his Schedule K-1 from Plush Pillows, LP. At the beginning of the
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Answer:

The Jerry's adjusted basis in his partnership interest at the end of the year is $45,500

Explanation:

The adjusted basis of Jerry in his partnership is shown below:

= Partnership interest - Ordinary loss + long term capital gain + dividend - non deductible expense + cash contribution - share reduction

= $50,000 -$15,000 + $3,000 + $2,000 - $500 + $10,000 -$4,000

= $45,500

The ordinary loss, share reduction, and non deductible expense would decrease the Jerry interest in partnership firm while all other cost would increase his interest. That's why the amount is added and subtracted.

Hence, the Jerry's adjusted basis in his partnership interest at the end of the year is $45,500

5 0
3 years ago
Workers at a company were assigned to one of two conditions: one group completed a stress management-training program; another g
Sergeu [11.5K]

answer:

Independent Variable: Group that completed the stress management training vs. Group that had no training)

Dependent Variable: Number of sick days

Explanation:

The dependent variables also called Predicated variable is a type of variable that depends on the independent variable which happens as a result of the circumstances surrounding the  independent during an experimental investigations. it also predicts the  outcome resulting from altering the controlled variable. for example in the question, the dependent variable is Number of sick days

The independent variable is the variable the which can be  changed or controlled during an experimental investigation which dependent variable relies on directly. for example from the question, the independent variable is the Group- (Group that completed the stress management training vs. Group that had no training)

8 0
3 years ago
Jeff, a local traffic​ engineer, has designed a new pedestrian foot bridge that is capable of handling the current traffic rate
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Answer:

a. How long will the current bridge system work before a new bracing system is​ required?: 64.18 years or 64 years and 2 months.

b. What if the annual traffic rate increases at 8 ​% ​annually: The bracing system will last for 24.65 years or 24 years and 7 months.

c. At what traffic increase rate will the current system last only 12 ​years: 17.13%

Explanation:

a. Denote x is the time taken for the number of pedestrian to grow from 300 to 2000. The current pedestrian is 300, the grow rate per year is 3% or 1.03 times a year. Thus, to reach 2,000, we have the equation: 300 x 1.03^x = 2000. Show the equate, we have 1.03^x = 6.67 <=> x = 64.18

b.  Denote x is the time taken for the number of pedestrian to grow from 300 to 2000. The current pedestrian is 300, the grow rate per year is 8% or 1.08 times a year. Thus, to reach 2,000, we have the equation: 300 x 1.08^x = 2000. Show the equate, we have 1.08^x = 6.67 <=> x = 24.65.

c. Denote x as traffic increase rate. The current pedestrian is 300, the grow rate per year is (1+x) times a year. Thus, to reach 2,000 after 12 years and thus a new bracing system to be in place, we have the equation: 300 x (1+x)^12 = 2000. Show the equate, we have (1+x)^12 = 6.67 <=> 1+x = 1.1713 <=> x = 17.13%.

8 0
3 years ago
A company has a beginning owner’s capital of $100,000. It has net loss for the current year of $50,000 and paid $10,000 in divid
11111nata11111 [884]

Answer:

The ending owner’s capital for the company is $40,000

Explanation:

For computing the ending owner capital, the following equation should be used which is shown below:

Ending owner capital = Beginning owner capital - net loss - dividend paid to shareholders

= $100,000 -- $50,000 - $10,000

= $40,000

The net loss and dividend decrease the owner equity which ultimately decreases the capital. So, we deduct these amounts.

Hence, the ending owner’s capital for the company is $40,000

5 0
3 years ago
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