Its marketing to consumers because they are going to use your product.
Answer:
the depreciable cost' of the machine is $480,000
Explanation:
The computation of the 'depreciable cost' of the machine is shown below:
Depreciable cost = Asset cost- Salvage value
= $500,000 - $20,000
= $480,000
Hence, the depreciable cost' of the machine is $480,000
We simply deduct the salvage value from the asset cost so that the depreciable cost could come
She's the last one since she's the only one you're talking to
Answer: Option (b) is correct.
Explanation:
Goodwill is the correct answer.
Goodwill referred as the difference between the price paid by any individual for acquiring a company and book value of the company that includes the fair value of a company's tangible assets, intangible assets and liabilities.
Basically, it is a payment for the reputation of the acquired company in the market.
Answer:
Opportunity cost refers to value of sacrifice one make for making a particular decision. Here, the cost of opportunity of leaving a job to start a business will be = Salary lost due to starting a business + Money initially spend on setting up of business + interest lost on initial investment (which you could have otherwise earned had you invested the money elsewhere) - potential profit from the business
<em>Calculating the annual opportunity cost</em>
Salary lost per year = $50,000
Money initially spend = $100,000
Let us assume the interest rate to be 2% and at this rate as i have not spend the money on starting the business. So interest per year = 100,000 * 2 * 1 / 100 = $2000
Thus, opportunity cost = $50,000 + $100,000 + $2000 - potential profit from the business. So therefore, Opportunity Cost is $152,000 - potential profit from the business per year.