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yanalaym [24]
4 years ago
13

Ace Company purchased a machine valued at $328,000 on August 1. The equipment has an estimated useful life of six years or 2.5 m

illion units. The equipment is estimated to have a salvage value of $9,000. Assuming the straight-line method of depreciation, what is the amount of depreciation expense that needs to be recorded at the end of the first year?
A. $53,167
B. $22,778
C. $22,153
D. $56,167
E. $54,667
Business
1 answer:
nlexa [21]4 years ago
6 0

Answer:

A. $53,167

Explanation:

The computation of the depreciation expense under the straight-line method is shown below:

= (Original cost - residual value) ÷ (useful life)

= ($328,000 - $9,000) ÷ (6 years)

= ($319,000) ÷ (6 years)  

= $53,167

In this method, the depreciation is same for all the remaining useful life.

The estimated useful life in units is used in units of production method. Hence, it is ignored here.

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What is a major drawback to outsourcing, and what solution could company management institute? courcehero
faust18 [17]

Answer with Explanation:

Some of the major drawback of outsourcing and how these issues must be tackled is listed as under:

  1. Loss of control. When the company outsources its one of operating department then the company looses the control that previously it was able to emphasize on the management. Usually the company department is outsourced to a professional firm that knows every single issue related to the task assigned. But sometimes issue arises when the the service company pretends that it is highly professional in dealing with the issues but they are not. Its almost rare in developed countries because of rule of law. In such cases the company has to avoid the contract and look for another firm to cooperate in this area.
  2. Reputational Risk: The negligence of working of third party may result in reputational losses. This may also have financial impacts in the form of loss of loyalty and sales. This risk is inherent risk and the solution is that the company must not form a contract until they are well assure of the professionalism of the firm.
  3. Confidentiality Risk: The competitive advantage can be due to a new IT system implemented that integrates the information and lower the cost of information for the company that helps it in making much better decisions and is the reason of competitive advantage. The loss of this confidential data might result in loss of ideas or mechanism working knowledge that competitor may use to overcome the competitive advantage. The solution to this can be awarding tender to the firm that is professional and agreeing them that they will not breach the confidentiality and if they do that then they will compensate the company.
  4. Coordination Issue: It is one of the major issue that the Outsourcing vendors don't frequently coordinate with the company because they have to manage other company data as well. The company and the firm must agree upon issues that must be resolved on a priority and in a defined time period.
5 0
3 years ago
What is the maximum age a taxpayer with no qualifying children may be at the end of the year and still qualify for the earned in
MatroZZZ [7]

Answer:

The correct answer is: 65 years old.

Explanation:

The Earned Income Tax Credit (<em>EITC</em>) is provided to people with low income. The amount of that income and the number of people within their household will determine the amount of the tax credit. People with no children can also be eligible for the credit until they are 65 years old by the end of the tax period.

8 0
3 years ago
Identify the functions of an enhancer in transcription.
katrin2010 [14]

We can actually deduce here that the functions of an enhancer in transcription is:

  • A cis-regulatory element that regulates gene transcription in specific tissues or cells.
  • Regulates transcription by catalyzing the formation of an enhanceosome, activating transcription.

<h3>What is an enhancer?</h3>

An enhancer in genetics refers to be a region of DNA that actually increases the chances of a transcription of a gene to occur. They are proteinous and usually referred to as transcription factors.

We can see here that the above are identified as functions of an enhancer in transcription.

Learn more about enhancer on brainly.com/question/12540179

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8 0
2 years ago
It is January 2nd and senior management of Baldwin meets to determine their investment plan for the year. They decide to fully f
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Answer:

Please see attachment

Explanation:

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6 0
4 years ago
If a special sales order is accepted for 3,000 sails at a price of $75 per unit, fixed costs remainunchanged, and there are no a
Paha777 [63]

Question Completion:

We assume that the variable manufacturing cost is $55 per unit.

Answer:

The change in operating income = $60,000

Explanation:

a) Data and Calculations:

Special order = 3,000 units

Price of special order = $75 per unit

Variable cost per unit (assumed) = $55

Fixed costs = unchanged

Variable marketing and administrative costs = unchanged

The change in operating income = $60,000 (($75 - $55) * 3,000)

b) Given the above scenario and the assumed variable cost per unit of $55, the change in operating income will be a total of $60,000, which adds to the normal business of the company.

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