In a business, the useful life of a machinery depends on its usage.
Let us assume that the useful life of the machine is 5 years.
cost of 500,000 ; useful life - 5 years ; further assume that there is no salvage value and no section 179 election and no out of bonus depreciation.
We will use the straight line method of depreciation. It is dividing the cost by its useful life.
500,000 / 5 years = 100,000 depreciation expense per year.
Since he only bought it on July 1, it can only be depreciated for 6 months.
100,000 * 6/12 = 50,000 depreciation expense for year 2015.
Answer: $93,088
Explanation:
Rate is compounded monthly which makes it:
= 8% / 12
= 0.6667%
= 0.006667
The payment of $20,156 is to increase yearly at a rate of 5%. Payments are at the beginning of the period so the first payment does not have to be discounted.
= $93,088
Answer:
The correct answer is letter "D": ethics.
Explanation:
Corporate ethical behavior refers to the good practices and values a company has that lead them to act according to what is conceived as correct. Most companies summarize their ethical guidelines in a <em>Code of Ethics</em> that represents the handbook of the behavior the company pursues to perform and expects from employees.
Thus, <em>the company commercializing new drugs without the approval of the Food and Drug Administration (FDA) has taken a mistaken ethical decision since the firm is prioritizing the recovery of the funds invested in Research and Development (R&D) instead of securing patients' health.</em>
Answer:
The correct answer is the option A: Difference between the marginal cost and the price of the monopolistic competitor.
Explanation:
To begin with, the concept known as <em>"Markup" </em>in the field of business and economics refers to the difference in the price and the cost of a good that is able to sale. Moreover, the "markup" is added into the total cost of the production of the good in order to obtain a profit for the sale of that good, so therefore that it implicates the percentage that the producer gains for selling his product to a consumer. So that is why this concept is understood as that difference comprehended between the sale price and the cost of the good produced.