The depreciation base is computed as follows: Estimated Residual Value = Depreciation Base - Asset Cost

Indicate whether the statement is true or false


True

Business

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The Shasta Corporation began operations in 2018. Shasta's portfolio of minority passive investments reported the following on December 31, 2018:  Equity InvestmentsCost$450,000Fair value$395,000Which of the following is correct with respect to the accounting for Shasta's investment portfolio?

A. Net income was decreased $55,000 during 2018. B. Net income and total stockholders' equity were decreased $55,000 as of December 31, 2018. C. Net income and total stockholders' equity were increased $55,000 as of December 31, 2018. D. Net income was increased $55,000 during 2018.

Business

Jackson Services had the following accounts and balances at December 31:AccountDebit CreditCash$20,000     Accounts Receivable 6,000     Prepaid Insurance 1,500     Supplies 5,000     Accounts Payable    $500 Common Stock     16,200 Dividends 1,000     Service Revenue     20,000 Utilities Expense 2,000     Salaries Expense 1,200     Totals$36,700  $36,700 Using the information in the table, calculate the company's reported net income for the period.

A. $10,300. B. $15,800. C. $16,800. D. $23,200. E. $15,300.

Business

Which of the following would allow a company to monitor what stakeholders are saying about the company on social media sites?

A) Facebook "likes" B) Automated reputation analysis C) Twitter feeds D) Blog threads E) Stock prices

Business

When unable to resolve an ethical conflict, the accountant should consider consulting with an attorney as to the legal obligations and rights concerning the ethical conflict

Indicate whether the statement is true or false

Business