Straight-line, declining-balance, and activity-based depreciation all are acceptable depreciation methods for both financial reporting and tax reporting.
Answer the following statement true (T) or false (F)
False
These are acceptable methods for financial reporting, not tax reporting. Most companies use MACRS for income tax depreciation.
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Under the add-on method for determining payments on a consumer loan,
A) service charges are added to the each monthly payment. B) a service charge for loan handling is added to the amount borrowed. C) interest is only added to the final monthly payment on the loan. D) interest is added to the amount financed in order to determine the total monthly payments.
A(n) ________ occurs when the purchasing agent orders additional units of products that have previously been purchased.
A. modified rebuy B. new buy C. adapted buy D. straight rebuy E. generic buy
The rights of a third party bene¬ficiary under a contract vest if the third party brings a lawsuit on the promise
Indicate whether the statement is true or false
Which of the following statements about the financing of the Social Security program is (are) true?
I. Although the self-employed pay an OASDI tax rate that is twice the employee rate, they are allowed certain deductions that reduce the effective tax rate. II. The earnings base on which OASDI taxes are paid increases annually based on changes in average wages in the national economy. A) I only B) II only C) both I and II D) neither I nor II