Change in amortization method will not have a retrospective effect b the company has an infinite life c the company is operating in a tax-free environment (correct) d the company can change the depreciation method in between a financial year correct answer: (c) the company is operating in a tax- free environment. You are correct deprecated means that it is still in use, but only for historical purposes and it will be removed probably in the next big release with all due respect, this is a slight pet peeve of mine and the selected answer for this is actually wrong granted the correct transitive verb for this is obsolete. Interview question for investment banking summer analyst in new york, nyif depreciation is understated by 100, how does that change the three financial statements. Suppose in an economy with zero interest rate five new trucks are bought and afterwards the fleet is renewed by investing the annual depreciation quotas the service life of a truck is four years what will be the stationary size of the fleet the assumed answer is four trucks the correct answer is eight trucks the difference.
Answered nov 4, 2017 author has 43k answers and 4921k answer views what the factually correct answers so far are overlooking, is why we invented “depreciation of assets” to begin with if there were no need to evaluate how much wealth you have, such as for tax purposes. Recommended answer 2 people found this helpful you would file a form 3115 to correct the depreciation error this is a complicated matter not supported by turbotax and usually requires an accountant you could try turbotax live (the most expensive version, with cpa/ea help) or see your own. Depreciation and correct answer - 1266 words question 1 1 out of 1 points which of the following disclosures are optional under ias 12 selected answer: b a numerical reconciliation between the average effective tax rate and the applicable tax rate, disclosing also the basis of calculating the applicable tax rate correct.
A using accelerated depreciation rather than straight line would normally have no effect on a project s total projected cash flows but it would affect the timing of the cash flows and thus the npv b under current laws and regulations, corporations must use straight-line depreciation for all assets whose lives are 5 years or. There are good reasons for using both of these methods, and the right one depends on the asset type in question the straight-line depreciation method is the easiest to use, so it makes for simplified accounting calculations on the other hand, the declining balance method often provides a more accurate accounting of an.
1 dr depreciation expense cr accumulated depreciation. About this quiz: chapter: depreciation, impairments and depletion quiz type : multiple choice questions (mcqs) number of mcqs: 16 total points: 16 approximate time required: 10 – 15 minutes you have already completed the quiz before hence you can not start it again quiz is loading you must sign in or sign. The effect on current-dollar imports is more ambiguous: depreciation increases the dollar cost of a given volume of imports, but the volume may decline to the extent that domestic goods and services are substituted for imports in response to the increase in the relative cost of purchases from abroad assuming that the export. An asset acquired in 2005 is unlikely to be worth the same amount five years later most of the time, the asset will have worn down, been depleted, or become obsolete while there are many ways to calculate depreciation, the most basic is the straight line method under this method, the depreciation of a given asset is.
question 1 1 out of 1 points which of the following disclosures are optional under ias 12 selected answer: b a numerical reconciliation between the average effective tax rate and the applicable tax rate, disclosing also the basis of calculating the applicable tax rate correct answer: b a numerical. Find out what is depreciation in business accounting, types of depreciation, its formula and how depreciation is calculated in small business. Reading: depreciation and amortization this unit deals with two of the hardest concepts in accounting, depreciation and amortization even saying these terms is hard for non-native speakers gap fill activity multiple choice pick the correct answer from a list listening activity listening comprehension listen to the word.
Both are correct, but it's actually more popular to pronounce the first i in depreciation (the vowel in the third syllable) with the vowel of bee variation like this between /iː/ and /ɪ/ occurs in specific, predictable contexts: at the end of a word (usually written -y) or in an unstressed syllable before another. And is calculated using the straight line method of depreciation assuming that the cost object is the product (bottles of mineral water), the depreciation costs can be classified as: a variable and direct b variable and indirect c fixed and direct d fixed and indirect the correct answer is d depreciation. The straight line depreciation method is the most basic depreciation method used in an income statement learn how to calculate the formula.
Exercise 11-1 deluxe ezra company purchases equipment on january 1, year 1 , at a cost of $909,860 the asset is expected to have a service life of 12 years and a salvage value of $77,600 your answer is correct compute the amount of depreciation for years 1 through 3 using the straight-line depreciation method. Definition: the monetary value of an asset decreases over time due to use, wear and tear or obsolescence this decrease is measured as depreciation description: depreciation, ie a decrease in an asset's value, may be caused by a number of other factors as well such as unfavorable market conditions, etc machinery. Unfortunately, you can have an immaculate home (inside and out) but if the area has depreciated it is almost impossible to fix 0 0 answer helpful external obsolescence on the other hand may well be impossible to fix hope she got this one right on her test, but we may never know 0 0 answer helpful 8 months ago.
Answer: the line becomes steeper, moving toward vertical true or false: a line with slope of 1/8 will be flatter, moving toward horizontal answer: true input a line with a positive slope is drawn up and to the right a line with a negative slope is drawn down and to the right modeling input if points (x1, y1) and (x2,y2) are. What is the tax impact of calculating depreciation understand the tax implications of a company's depreciation learn how differences in accounting methods change the amount read answer. Answered nov 4, 2017 author has 42k answers and 4621k answer views what the factually correct answers so far are overlooking, is why we invented “depreciation of assets” to begin with if there were no need to evaluate how much wealth you have, such as for tax purposes. Simple & compound interest & depreciation (f) - version 3 january 2016 simple & compound interest & depreciation (f) a collection of 9-1 maths gcse sample and specimen questions from aqa, ocr, pearson-edexcel and wjec eduqas 1 here are the interest rates for two accounts derrick has £10 000 he wants to.