BUSINESS HIGH SCHOOL

On January 1, 20X1 NCAA Company purchased a truck that cost $24,000. The truck had an expected useful life of 5 years and a $4,000 salvage value. The amount of depreciation expense recognized in 20X3 assuming that NCAA uses the double declining balance method is:

Answers

Answer 1
Answer: Given:
Cost = 24,000
life = 5 years
salvage value = 4,000

Double declining balance stops when the book value of the asset is equal to its salvage value.

Double declining balance formula: 2 * straight line dep. rate * book value beginning of the year.

straight line dep rate = (24,000 - 4,000) ÷ 5 yrs = 4,000
⇒ 4,000 / 20,000 = 0.2 or 20%

year    Net book value, beg DDB dep. ext      net book value, end
2011   24,000                      9,600                   14,400
2012   14,400                      5,760                    8,640
2013     8,640                      3,456                    5,184

The depreciation expense recognized in 20x3 is 3,456.

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Answers

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Answers

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Answers

A. The total cost of commuting from any given distance to work will reduce because the indirect cost of the commute will fall.

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C. The total cost of commuting from any given distance to work will reduce because the direct cost of the train ticket will fall.

D. The total cost of commuting from any given distance to work will increase because the direct cost of the train ticket will rise

Answer:

A. The total cost of commuting from any given distance to work will reduce because the indirect cost of the commute will fall

Explanation:

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Answers

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Answers

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Answers

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