Sanders LLC purchased new packaging equipment with an estimated useful life of five years. The cost of the equipment was $30,000, and the salvage value was estimated to be $3,000 at the end of five years. Compute the annual depreciation expenses through the five-year life of the equipment under each of the following methods of book depreciation: (a) The straight-line method. (b) The double-declining-balance method. (c) If switching to the straight-line method is allowed, when is the optimal time to switch
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If the switching method is allowed, the optimal time to switch is at the end of year 4.Given:Cost of equipment = $30,000 Salvage value = $3,000 Useful life = 5 years Depreciation methods:
a) Straight-line method.b) Double-declining-balance method.c) Switching method
a) Straight-line method
Straight-line depreciation method is a method of depreciation where an equal amount of depreciation is charged in each year. The depreciation expense under the straight-line method is calculated using the following formula:Depreciation expense
= (Cost of the asset – Salvage value)/Useful life
= (30,000 - 3,000)/5
= $5,400 per year
.b) Double-declining-balance method
The double-declining-balance method of depreciation is a method of depreciation where the depreciation expense is calculated as a percentage of the book value of the asset. The percentage rate is double the rate used in the straight-line method. The formula for calculating depreciation expense under the double-declining-balance method is:
Depreciation expense = (Book value of the asset) x (2/Useful life)
For year 1:
Depreciation expense = (30,000 x 2/5) = $12,000
For year 2:Depreciation expense = (30,000 - 12,000) x 2/5
= $7,200
For year 3:Depreciation expense = (30,000 - 12,000 - 7,200) x 2/5
= $4,320
For year 4:Depreciation expense = (30,000 - 12,000 - 7,200 - 4,320) x 2/5 = $2,592
For year 5:Depreciation expense = (30,000 - 12,000 - 7,200 - 4,320 - 2,592) x 2/5 = $1,557.6
c) Switching method
Under the switching method, the company switches from the double-declining-balance method to the straight-line method of depreciation. The optimal time to switch is when the straight-line method gives a higher depreciation expense than the double-declining-balance method. The following table shows the depreciation expenses under both the methods:
Year Depreciation expense (double-declining-balance) Depreciation expense (straight-line)
1$12,000 $5,400
2$7,200 $5,400
3$4,320 $5,400
4$2,592 $5,400
5$1,557.6 $5,400
From the table, we can see that the optimal time to switch is at the end of year 4. At the end of year 4, the book value of the asset is $7,200, and the remaining useful life is 1 year. If the company switches to the straight-line method, the depreciation expense for year 5 would be:
$5,400 + [($7,200 - $3,000)/1] =$9,600
Therefore, the depreciation expenses for the 5-year life of the equipment under each of the methods of book depreciation are:
Straight-line method: $5,400 per yearDouble-declining-balance method: Year 1 - $12,000, Year 2 - $7,200, Year 3 - $4,320, Year 4 - $2,592, Year 5 - $1,557.
6If the switching method is allowed, the optimal time to switch is at the end of year 4.
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Related Questions
The company's estimated total customer service cost for next month is closest to: (Round your intermediate calculations to 2 decimal places.)
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The company's estimated total customer service cost for next month Total cost estimation can be calculated based on relevant data and assumptions.
To determine the estimated total customer service cost, you would need to consider various factors such as the number of customer service representatives, their salaries, benefits, training costs, equipment and technology expenses, and any additional overhead costs associated with providing customer service.
First, calculate the individual costs for each component mentioned above, taking into account any applicable hourly rates, monthly expenses, or other relevant factors. Sum up these individual costs to obtain the total cost estimate for customer service.
It's important to note that without specific numerical values or further details about the company's customer service operations, it is not possible to provide an exact estimation in this case. However, by gathering accurate data on the relevant cost components and applying appropriate calculations, the company can arrive at a reasonable estimate for its total customer service cost for the upcoming month.
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Complete Question
Customer service costs at BA-462 inc. are as follows: Customer service cost is a mixed cost whose varible component is driven by number of customers served. Suppose the compar uses the high-low method to estimate the variable and fixed components of this cost. The company expects to serve 16,300 clients next month. The company's estimated total customer service cost for next month is closest to: (Round your intermediate calculations to 2 decimal places.)
The internet enables companies to decrease their emphasis on traditional promo
Answers
Answer:
The internet has enabled companies to promote their business with listing key factors and market their products with special highlights.
Explanation:
Earlier businesses used to promote their products by door to door marketing. In this era of technology and advancement the business focus on distinct features of their product and promote the products by highlighting those distinct features which other products does not have. Consumers are impressed with the presentation style and it is easier for them to view the complete product details by sitting at home through internet.
What are the components of M1 and M2? Why do nations have more than one money supply measure? See this Week's Money Supply M1 and M2 on Canvas.
Answers
M1 money supply includes all of the physical currency and coins in circulation (like the dollar bills in your wallet), checking account balances held by individuals and companies, traveler's checks, and other checkable deposits.
It does not include other forms of money, such as savings accounts or certificates of deposit. M2 includes M1 plus savings deposits, time deposits under $100,000, and retail money market mutual fund shares. M2 is a broader measure of the money supply that M1.
A nation may have more than one measure of money supply because different measures provide different perspectives on the money supply. M1 is a narrow measure that includes only highly liquid forms of money, while M2 is a broader measure that includes other forms of money like savings deposits and money market mutual funds. The measures can help policymakers and economists better understand the money supply and how changes in it can affect the economy.
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Harlowe purchases a watercolor painting by a prominent local artist and a RecumbentSloth brand recliner from a yard sale. She pays cash for both items, and the seller promises to deliver them next week. Two days later the seller calls Harlowe and says he no longer wants to sell the items and sends Harlowe back her money. If Harlowe sues, will she be able to get the items she bought?
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Answer:
Yes, Harlowe should sue for specific performance of the contract.
Specific performance is a legal remedy in contract law where a civil court orders the breaching party (seller) to perform their part of the contract.
In this case, Harlowe will probably be able to get the painting since it is a unique article, but it will be harder for him to get the chair. He might be able to get the seller to deliver it to him, but since it is a common article, he could find a similar one somewhere else. But that is not the case of the painting, which is not a common article and it cannot be found somewhere else.
Which of the following is an Internet job search “do”?
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What an Internet do in job search is to b. Pay attention to all directions before responding to job postings.
What is Internet?Internet can be regarded as the global computer network which helps to give variety of information and communication facilities.
It should be noted that it , encompass interconnected networks using standardized communication protocols, hence What an Internet do in job search is to b. Pay attention to all directions before responding to job postings.
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CHECK THE COMPLETE QUESTION
Which of the following is an Internet job search “do”?
a. Post your résumé without considering your privacy
b. Pay attention to all directions before responding to job postings
c. Assume that e-mail is informal, private, or temporary
d. Take a passive role during your online job search
you work for a creative agency and want to drive awareness for a clothing brand's new product. how should you connect with potential customers through a video ad?
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The best way to reach potential buyers for a new product from a major beauty brand is through a video advertisement. Include a range of characters that reflect your target audience.
By including characters who are diverse in terms of colour, ethnicity, age, gender, and other categories, you can encourage viewers to identify with your brand. One individual can occasionally serve as a representative of a varied group, therefore representation need not always include showing many people.
Make the characters the focus of the narrative while being distinctively straightforward. Let the product stand out and be distinctive while remaining straightforward. Put the brand in the spotlight while letting the goods shine.
MPR is a useful strategy for raising awareness because it generates media stories. MPR may develop credibility and foster a feeling of mystery among salespeople and dealers once the tale has gained traction in order to increase enthusiasm.
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If you are interviewed by more than one person, you should send a thank-you note to _____.
each person in the interview
each person you see in the building
the first person you are introduced to
the person who is obviously leading the interview
Answers
Answer:
option A is correct.
i.e.
each person in the interview.
Explanation:
Because thank-you letter provides a simple but effective way to express gratitude to all the individuals you met with.
positive outcomes of entrepreneurship in marketplace
Answers
Answer: New and improved offerings, products or technologies from entrepreneurs enable new markets to be developed and new wealth created. Additionally, the cascading effect of increased employment and higher earnings contribute to better national income in form of higher tax revenue and higher government spending. Entrepreneurship and Innovation minors will be able to sell themselves and their ideas. Students master oral and visual presentation skills and establish a foundation of confidence in the skills necessary to cause others to act. Entrepreneurship and Innovation minors will be able to find problems worth solving. Economic growth. The bottom line of vibrant entrepreneurialism is that it creates wealth: for the entrepreneur, for the people that are employed as a result and for the local economy. ... Entrepreneurs boost economic growth by introducing innovative technologies, products, and services. Increased competition from entrepreneurs challenges existing firms to become more competitive. Entrepreneurs provide new job opportunities in the short and long term.
Hope this helps....... Stay safe and have a Merry Christmas!!!!!!! :D
What does indigenous technology mean?
Answers
Answer: I hope this is helpful mark brainlist if right then no if wrong
Explanation:
Indigenous technology is used by the native inhabitants of a country or region and it constitutes an important part of its cultural heritage. Characteristically, indigenous technologies: Are recognized as animate, imbued with the breath of life and they live in form and function.Technologies employed by the native inhabitants of a country and which constitute an important part of its cultural heritage and should therefore be protected against exploitation by industrialized countries; the problem of indigenous knowledge has been discussed during the Rio Conference but it does not receive much ...Types of indigenous technology in India are; (i) Generic Drugs. (ii) Thorium based Nuclear Reactors. (iii) Plastic RoadsIndigenous Technology is created within a sensory environment that builds on our sense of relationship, meaning, balance, feeling, memory and place as well as sight, sound, smell, taste and touchIndigenization is the process by which Indigenous ways of knowing, being, doing and relating are incorporated into educational, organizational, cultural and social structures of the institution.One example of Indigenous Technologies in action today can be witnessed in differential approaches to medicine. Medical technologies in the Western Scientific sense of the term might conjure images of biomedical research labs, electromagnetic monitors or imaging systems such as CT or MRI scans.Indigenous technology is used by the native inhabitants of a country or region and it constitutes an important part of its cultural heritage. Characteristically, indigenous technologies: Are recognized as animate, imbued with the breath of life and they live in form and function.
How does dynamic remarketing work?
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By reminding display advertisement leads about their previous interests, dynamic remarketing can assist ken. It boosts visitors to your website and campaign. it boosts traffic from repeat clients.
It aids the consumer by reminding them of the item they were searching for or forgot they had added to their cart. The ads will be pertinent and targeted to the right audience, and that will be the main component of this plan.
The list of audiences that look for adverts is called dynamic remarketing. Users who have seen the website's search results page cannot build it.The list of users or customers who are targeted when they view particular adverts for the items and services they have purchased or desired to acquire is known as dynamic remarketing. It can be made utilising analytics tools, such as targeting customers based on conversion paths and importing predefined audiences.
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what is the tax law on selling a home and using that to fund your next home without paying income tax
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The tax law you are referring to is the Section 1031 Exchange, also known as a Like-Kind Exchange or a 1031 Exchange. This provision in the U.S. tax code allows you to defer paying capital gains tax on the sale of a property if you reinvest the proceeds in a similar or "like-kind" property within a specific time frame.
It is important to note that this law applies primarily to investment properties and not to personal residences. When selling a personal residence, you may be eligible for the Section 121 Exclusion, which allows homeowners to exclude up to $250,000 of capital gains ($500,000 for married couples filing jointly) from their income if certain conditions are met, such as owning and living in the home for at least two of the last five years.
This means that if you sell your home for more than you paid for it, you may not have to pay taxes on the profits, up to the limits of the exclusion. Another tax law that may apply is the mortgage interest deduction, which allows homeowners to deduct the interest paid on their mortgage from their taxable income. This can help reduce your overall tax liability and make it easier to afford your next home.
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T/F. If the quantity demanded for good A increases from 40 to 60 when the price decreases from $9 to $7, the absolute value of the price elasticity of demand in this price range is 1.6.
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If the quantity demanded for good A increases from 40 to 60 when the price decreases from $9 to $7, the absolute value of the price elasticity of demand in this price range is 1.6. This is a true statement.
What is price elasticity, using an example?Price Elasticity of Demand =% Change in Demanded Quantity /% Change in Price For instance, the price elasticity of demand would be 1.5 if the quantity sought for a product rose 15% in response to a 10% price cut.
If a price is elastic or inelastic, how do you know?The percentage change in quantity required divided by the percentage change in price is used to compute the price elasticity of demand. Demand is seen as being elastic if the quotient is larger than or equal to one. Demand is deemed inelastic if the value is lower than one.
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100. A residential zoning category requires at least 12,500 square feet per lot. The
developer is reserving 35% of the land to streets, sidewalks, a park and a community
center. The tract of land for development consists of 160 acres. How many residential
lots are available for development?
A. 196
B. 265
C. 362
D. 558
Answers
i would say C
Have you ever bought something you thought would make you happy, but in the end it didn't?
Answers
Answer:
ummmmmmmmmm yea, but it's all cool now hbu
When an employee is terminated, IS administrators should receive advance notice so that they can ________.
Answers
When the employee is terminated the IS administrators should receive advance notice so that they can remove the user account and password.
By terminated, this means that this employee has ceased to be a worker of the organization. As a person that no longer works there, it would be of no use for them to still have access to company facility.
If the user account and the password is not removed, this employee would be able to find his way into the database of the company. He would still have a hold on confidential information.
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how entrepreneurs that operate in the sharing economy use creative thinking to develop and improve businesses?
Answers
Answer:
To find out future needs and trends.
Explanation:
Entrepreneurs use creative thinking to develop and improve businesses by analyzing the future needs and trends that will follow by the people so by knowing future needs and trends, the entrepreneurs started to invest in those needs and products which give him a good profit in the future and in this way the creative mind of Entrepreneurs helps in the generating of employment as well as boosting the economy of the country.
what is the independent and dependent variable?
please help
Answers
Answer:
The result should be the dependent variable. Its the result or what you can control.
Explanation:
A common written method used internally and externally for formal communications such as notices of appointment,promotions or dismissal
A) electronic mail
B) NOTICES
C) letter
D) memorandum
Answers
Conor broke his wrist while playing basketball in the backyard. He ended up in the hospital. After an X-ray, MRI, doctor visit and a cast, he receives a hospital bill for $10,000. According to his health insurance policy, he has $2,000 deductible (which he did not pay this year at all) and a 20% co-pay. How much Conor will have to pay for the hospital?
Answers
Answer:
$6,000
Explanation:
A deductible is the amount Conor has to pay before his medical bills and prescriptions start getting coverage from his insurance.
Step 1: 10,000 - 2,000 = 8,000
A co-pay is a fixed amount the insured has to pay for certain medical services.
Step 2: 20% of 8,000 or 0.20 times 8,000 = 1,600
Step 3: add $2,000 (the deductible you have to pay) and $1,600 (the co-pay)
Total amount that Conor will have to pay for the hospital: $3,600
What is Trespassing? What Are the laws relating to trespassing
in Canada?
Answers
Trespassing is the act of entering or remaining on someone else's property without permission or legal right to do so. In Canada, the laws relating to trespassing are outlined in the Criminal Code.
The law states that it is illegal to enter or remain on someone else's property without their permission, and doing so can result in criminal charges. Additionally, if someone causes damage to the property while trespassing, they can be held liable for the cost of the damage. It's important to note that the laws surrounding trespassing may vary depending on the province or territory, so it's always best to consult with a legal professional for specific guidance.
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Which statement best describes the relationship between price and quantity supplied? a When prices increase, quantity supplied increases.b When prices increase, quantity supplied stays the same. cWhen prices decrease, quantity supplied increases. d When prices decrease, quantity supplied stays the same.
Answers
A is the option that offers the most accurate description of the connection between the selling price and the total amount.
When prices go higher, there is a corresponding rise in the amount that is provided.
When prices increase, the quantity supplied increases. Option A
What does the price mean?This is a reference to the value that is affixed to a certain good or service, which is the amount that it may be bought or acquired for.
As a result, we can see that based on the economic principle of price and quantities supplied, we can make the observation that when prices increase, the quantity supplied increases, and this is because of demand and supply.
In other words, when prices go up, there are more goods available for purchase.
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Petty Cash is a liability with a normal debit balance.
True or false
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Preparing outlines for formal and informal reports is a good idea. In a Roman numeral outline for a report, "I" is a first-level heading. Which of these are also true? Check all that apply.a) "A" and "1" are both second-level headings, or subheadings.b) You should not use any other headings underneath "I."c) "1" is a second-level heading, or subheading.d) "A" is a second-level heading, or subheading.
Answers
Preparing outlines for both formal and informal reports is a beneficial idea as it helps organize thoughts and ideas in a logical manner. In a Roman numeral outline, "I" is a first-level heading, which means it is the main topic or idea of the report. The statement "a" and "c" are true because "A" and "1" are both second-level headings or subheadings.
These subheadings provide additional details, facts, or points to support the main topic under the first-level heading. However, option "b" is not entirely accurate because it is possible to have third-level headings underneath "1" or "A" to provide more specific information under the subheadings.
Finally, option "d" is false because "A" is a subheading under "1" and is not a second-level heading itself. Overall, using a Roman numeral outline is a great way to structure reports and ensure that all essential information is included in an organized and clear manner.
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Market Risk for a project is measured by: A) Standard deviation B) Variance C) Coefficient of variance D) Project beta E) Scenario Analysis
Answers
Market risk for a project can be measured by various methods, including standard deviation, variance, coefficient of variance, project beta, and scenario analysis.
Standard deviation measures the variability of returns around the mean, while variance measures the average squared deviation of returns from the mean. Coefficient of variance is a relative measure of risk that expresses standard deviation as a percentage of the mean.
Project beta measures the sensitivity of the project's returns to changes in the overall market, while scenario analysis evaluates the impact of different scenarios on the project's returns.
Ultimately, the most appropriate measure of market risk for a project will depend on the specific characteristics of the project and the preferences of the stakeholders involved.
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Automation, robots, and technology are replacing human workers, especially in manufacturing
jobs. Is this change good or bad for Americans and the economy? Justify your response.
Answers
Answer:
It should be good.
Explanation:
Answer:
Bad
Explanation:
Robots replacing human workers means that more people will be unemployed, and they won't be able to afford the goods the robots make, so the businesses will have more goods than they can sell, which is bad for the economy.
compute the january 31 ending inventory and cost of goods sold for january, assuming denver uses average cost and a perpetual inventory system. (do not round intermediate calculations. round your final answers to nearest whole dollar amount.)
Answers
The January 31 ending inventory and cost of goods sold for January, assuming Denver uses average cost and perpetual inventory system is $46,650.
What is perpetual inventory system?Perpetual inventory systems, also known as continuous inventory systems, are inventory management techniques where information on inventory quantity and availability is updated continuously and in real time as a part of business operations. In most cases, this is done by integrating the inventory system with the order input and retail point of sale systems. In this instance, book inventory would be identical to, or very similar to, real inventory. Periodic or non-continuous inventory systems were more common in former times. A perpetual inventory system could be put into place starting in the 1970s thanks to digital computers. Bar coding and more recently radio frequency identification labels have made this easier since they enable computer systems to swiftly read and interpret inventory information as part of transaction processing.
200 units at $60 = $12,000 + 550 units at $63 = $34,650 = $46,650
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TRUE/FALSE. if a firm in a perfectly competitive industry introduces a lower-cost way of producing an existing product, the firm will be able to earn economic profits in the long run.
Answers
It is untrue to say that if a company in a highly competitive market introduces a less expensive method of manufacturing an already existing good, the company will eventually be able to turn a profit.
What is economic profit?Economic profit is the difference between revenue from sales of goods and services and costs incurred in their production, including opportunity costs (benefits a business forgoes by not selecting a different option) and explicit costs (expenses on lease payments, raw materials, inventory, and utilities).
Economic profit is essential since it allows for the evaluation of a company's financial performance and profitability. It demonstrates if a specific company can pay its bills and generate profits for stakeholders.
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can anybody help me please i will mark brainlyest
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and electrical light
Explanation:
telephone: it allowed for instant
communication, communication by voice,
and it paved the way for future inovations
in telephone technology.
engine: it was powered by gas and air,
which made it impractical for widespread
public use.
light: Electric lights allowed factories to stay
open longer and produce more goods.
discuss the two ways that product differentiation affects demand for the product.
Answers
Product differentiation influences demand by creating a unique selling proposition and effectively catering to the preferences of specific consumer segments.
Product differentiation can have a significant impact on the demand for a product in two main ways. Firstly, it creates a unique value proposition that sets the product apart from its competitors, giving consumers a reason to prefer it over alternatives. This differentiation can be achieved through various factors such as superior quality, innovative features, exceptional customer service, or a distinct brand image.
Secondly, product differentiation allows companies to target specific market segments effectively. By tailoring the product to meet the specific needs and preferences of a particular group of consumers, companies can capture their attention and loyalty. This targeted approach enables companies to establish a competitive advantage in niche markets and build strong customer relationships.
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snowcap ice cream produces over a dozen delicious ice cream flavors and a number of individually packaged frozen treats. which of these strategies would represent vertical integration for snowcap?
Answers
The purchase of Mountain Dairy milk farm would represent a vertical integration for Snowcap.
Vertical integration refers to the process of acquiring the business operations of another in order to increase supply chain efficiency and to achieve reduction of delays.
Here, the Snowcap company produces ice creams and requires the milk to facilitate its production. Therefore, the company can buy a milk plant, to enable its control the delivery of milk to the ice cream plant.
Therefore, the purchase of Mountain Dairy milk farm would represent a vertical integration for Snowcap.
Multiple Choice "a. purchasing Mountain Dairy milk farm, b. acquiring a beverage bottling plant, c. opening a personal tax accounting division, d. setting their prices lower than the competitors’ prices"
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