On April 12, 2017, Suzanne bought a computer for $20,000 for business use. This was the only purchase for that year. Suzanne used the most accelerated depreciation method available but did not elect Sec. 179. Bonus depreciation was not available. Suzanne sells the machine in 2018. The depreciation on the computer for 2018 is
A) $2,000.
B) $3,200.
C) $4,000.
D) $6,400.
B) $3,200.
[0.32 × $20,000 × 1/2 year] = $3,200
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Consider a one-year coupon bond that has a present value of $2,000. If the annual rate of discount is 5 percent, and the payment made at the end of each year is $140, the principal amount to be repaid at the end of one year is
A. $1,234.65. B. $1,363.32. C. $1,960.00. D. $2,000.00.
The adjustment for changes in operating working capital accounts depends in part on a firm's rate of growth. Some firms use suppliers or other creditors to finance these working capital needs, which are
a. classified as operating activities. b. classified as financing activities. c. classified as investing activities. d. disclosed in a supplementary schedule or notes to the financial statements. e. disclose such changes in managements' discussion and analysis.
The change in each of Kendall Corporation's balance sheet accounts last year follows: IncreaseDecreaseCash and cash equivalents$3,000 Accounts receivable$2,000 Inventory $3,000 Prepaid Expenses$4,000 Long-term Investments $15,000 Property, Plant and Equipment$10,000 Accumulated Depreciation$8,000 Accounts payable $9,000 Accrued Liabilities$6,000 Bonds Payable $13,000 Common Stock$5,000 Retained Earnings$4,000 Kendall Corporation's income statement for the year was: Sales$300,000Cost of goods sold 180,000Gross margin 120,000Selling and administrative expense 116,000Net income$4,000There were no sales or retirements of property, plant, and equipment and no dividends paid during the year. The company pays no
income taxes and it did not purchase any long-term investments, issue any bonds payable, or repurchase any of its own common stock. The net cash provided by (used in) operating activities on the statement of cash flows is determined using the direct method.Using the direct method, sales adjusted to a cash basis would be: A. $305,000 B. $298,000 C. $300,000 D. $302,000
When you initiate an email, you should
A) always use a formal salutation. B) use a dark background and impressive font. C) cut and paste parts of an email from someone you disagree with. D) communicate your purpose for writing. E) include an electronic business card.