ECONOMICS
MONEY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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it doesn’t matter what you do ____ you cannot slow depreciation
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buy cars that have manufacturer’s warranties that are still valid
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keep the car maintenance up to date
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buy slightly used cars about 1-3 years old
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Detailed explanation-1: -The four methods for calculating depreciation allowable under GAAP include straight-line, declining balance, sum-of-the-years’ digits, and units of production.
Detailed explanation-2: -Increase Salvage Value Since assets are not depreciated below their salvage value–the amount management believes it can sell the asset for at the end of its useful life–an increase in the asset’s salvage value will reduce the amount that can be depreciated on the asset.
Detailed explanation-3: -Answer and Explanation: A) total cost is not an acceptable method of depreciation.
Detailed explanation-4: -Straight Line Depreciation Method. Diminishing Balance Method. Sum of Years’ Digits Method. Double Declining Balance Method. Sinking Fund Method. Annuity Method. Insurance Policy Method. Discounted Cash Flow Method. More items •03-Jul-2019