Answer:
Straight-line = $3,900
Double Declining Method = $7,800
Activity Based = $3,600
Explanation:
1. Straight-line.
Depreciation Expense = (Cost of Asset - Salvage Value) / Useful Life
= $43,000 - $4,000 / 10
= $3,900
2. Double Declining Method
Deprectiation Expense = (2 x (Cost of Asset - Salvage Value)) / Useful Life
= 2 x ($43,000 - $4,000) / 10
= (2 x $39,000 ) / 10
= $78,000 / 10
= $7,800
3. Activity Based
Depreciation Expense = (Cost of Asset - Salvage Value) x Activity Peformed / Estimated Lifetime Acitity
= ($43,000 - $4,000) x 1,200 hours / 13,000 hours
= $39,000 x 1,200 / 13,000
= $3,600
Answer:
separates costs into fixed and variable component
can assist with management decision making
Explanation:
The contribution margin may be defined as when we deduct the expenses of the variable from sales. Where contribution margin shows the organization revenue is contributing to net income and fixed cost.
The statement of contribution margin income tells of the earnings at various stages of operations.
This report of income is not used for external reporting purposes but rather for internal decision making by the management.
Therefore according to the above description, the last two statements are correct.
Answer: True
Explanation:
This is true. In a recent survey that was carried out, which was titled the Effing Problem; it was stated that more that half of the workers in the United States were not happy with the jobs they currently have and that about forty percent will like to change the job that they are currently doing if they are given the opportunity.
People find it easy not to change jobs due to the fact that the economy is struggling and a job market that's also struggling. Therefore, people stay in their current jobs even if they are dissatisfied because they'll rather stay than stay jobless.
Answer:
a) Augmented product: Previous Sabre models have won high praise from the automotive industry, and all 500 units of past vehicles have sold within weeks of announcement
b) Promised product: Sabre provides each potential customer with a list of customizable features that can be added during the manufacturing process.
c) Tangible product: Sabre designs and manufactures each automobile in-house; it makes every part of the car, from the tires to the brakes to the transmission to the metallic paint. Sabre employees make each car by hand.
d) Core product: Sabre is a performance automobile manufacturer headquartered in Ulster, Ireland. It has been in business for eighteen years and has brought twenty performance-oriented automobiles to market during this time.
Explanation:
a) The augmented product is defined as one that is capable of exceeding consumer expectations. In this case, the cars were sold very fast since customers were met with their expectations regarding the product offered.
b) In this case, Saber is able to customize each car with a series of additional features that offer the user so that he is able to have his own car as he would like
c) Tangible products are defined as goods or services that are manufactured, dispatched and delivered, that is, in this case, cars
d) Saber's main product is the manufacture of high performance cars. That is its main product and its strength in the business
Answer:
($3,000)
An outflow
Explanation:
The cash flow statement categories the company's transactions in a financial period into 3 groups; these are operating, investing and financing.
The net profit/loss, depreciation, changes in current assets (other than cash) and liabilities are considered as operating activities including income taxes.
In cash flow statements, an increase in assets(other than cash) is treated as a cash outflow while a decrease is considered as an inflow of cash.
Hence if accounts receivables balance increases from $45,000 i 2018 to $48,000 in 2019, the change of $3,000 will be shown as an outflow.
