Answer:A
Explanation:
The high rate of inflation in Mexico would increase its citizens purchasing power.
Answer:
Explanation:
Principle amount is $162000
Rate is 7.5% or 7.5%/12 monthly
So formula is: Interest = Principle * Rate * Time / 100
Interest = 162000*7.5*1/12*1/100 = 1215000/12 = 1012.5
Interest = 1012.5
Answer:
The answer is C. longer inventory sits on the firm's shelves
Explanation:
The Inventory turnover is the number of times inventory is sold or used during a given period of time.
The formula is:
cost of goods sold/average inventory.
A lower inventory turnover means weak sales(declining sales) and excess inventory remaining in the warehouse while a higher inventory turnover means it is taking a firm short time to sell its goods(inventory)
Answer:
$16,500
Explanation:
Straight line method of depreciation charges the same amount of depreciation on the asset over its useful life.
Depreciation Charge = Cost - Salvage Value / Number of Useful Life
<u>Component Approach</u>
Considers the depreciation charges separately of different components that make up total asset due to difference in number of useful life.
Warehouse :
Depreciation Charge = ($280,000 - $50,000) / 20 years
= $11,500
(HVAC) system :
Depreciation Charge = $50,000 / 10 years
= $5,000
Depreciation : First Year = Depreciation charge for Warehouse + Depreciation charge for (HVAC) system
=$11,500 + $5,000
=$16,500