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Firlakuza [10]
3 years ago
15

A company buys an oil rig for $3,000,000 on January 1, 2018. The life of the rig is 10 years and the expected cost to dismantle

the rig at the end of 10 years is $600,000 (present value at 10% is $231,330). 10% is an appropriate interest rate for this company. What expense should be recorded for 2018 as a result of these events?
Business
1 answer:
kherson [118]3 years ago
5 0

Answer:

$346,266.00

Explanation:

The expense that should be recorded for 2018 as a result of the events is the depreciation charge plus the finance charge on the present of value of dismantling cost

depreciation=(cost of oil rig+present value of dismantling cost)/10 years

cost of oil rig is $3,000,000

present value of dismantling cost=$231,330

depreciation charge=($3,000,000+$231,330)/10=$323,133.00  

finance charge=$231,330*10%=$23133

total expense=$23,133.00 +$323,133.00 =$346,266.00  

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5 0
3 years ago
If a Florida strawberry wholesaler operates in a perfectly competitive market, that wholesaler will have a _____ share of the ma
aniked [119]

Answer:

small; standardized; little or no

Explanation:

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I hope my answer helps you.

7 0
3 years ago
Gas is sold for 1.399 per liter in san diego, ca. your car needs 12.00 gallons. how much will your credit card be charged in dol
vovikov84 [41]

The answer is C: $63.54. The credit card will be charged $63.54 in Canadian dollars for 12.00 gallons of gas.

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Therefore, 45.4249 liters of gas = 45.4249 * 1. 399

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Thus, The credit card will be charged $63. 54 for 12.00 gallons of gas.

The official currency of Canada is the Canadian dollar (sign: $; code: CAD; French: dollar canadien). There is no standard disambiguating form; nevertheless, prominent style guides frequently recommend the abbreviation Can$ to distinguish it from other dollar-denominated currencies. It is abbreviated with the dollar sign $. There are 100 pennies in it.

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A) $67.15

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D) $4.44

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3 0
2 years ago
According to classical macroeconomic theory, changes in the money supply affect:a. variables measured in terms of money and vari
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6 0
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