Answer:
A. 1,406
Explanation:
Double-declining balance formula = 2 X Cost of the asset X Depreciation rate
The cost of asset = $7,500
salvage value = $500
estimated useful life = 8years
To calculate the depreciation value using Double-declining balance formula = 2 X Cost of the asset X Depreciation rate
Depreciation rate = 1/useful life *100 = (1/8) * 100 = 12.5%
Therefore
2 x $7500 x 12.5% = $1,875 - year 1
for the second year the cost of asset will be$ 7,500 - $1,875 = $5625
2 x $5625 x 12.5% = $1,406.25
Therefore the answer is $1,406
The quantity rose was mostly likely cause
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer:
(a) Stakeholder approach
Explanation:
A stakeholder approach is the practice that managers formulate and implement processes that satisfy stakeholders' needs to ensure long-term success. According to the degree of participation of the different groups, the company can take advantage of market imperfections to create valuable opportunities.
Answer:
False
Explanation:
While preparing the raw material budget for the period we calculate the total purchases to be made in the period concerned to meet the demand of raw material.
Demand in the period concerned = Total raw material required in production in current period + Total balance of inventory to be kept as closing inventory of current period - The opening available balance of inventory.
This is equal to the purchases to be made.
Thus, closing inventory is added and opening is deducted.
Therefore, the statement is question is not correct and is therefore, false.