The Additional Pleasure or Satisfaction from a Good Declines as More

question 98

Multiple Choice

The additional pleasure or satisfaction from a good declines as more of it is consumed in a given period.This is the definition of the

• A)Law of demand.
• B)Law of diminishing marginal utility.
• C)Law of diminishing total utility.
• D)Total revenue rule.

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Definitions:

Double-Declining-Balance Method

The double-declining-balance method is an accelerated depreciation technique that writes off a larger portion of an asset's value early in its useful life, decreasing over time.

Residual Value

It is the estimated amount that an asset is expected to realize at the end of its useful life after deducting all costs associated with its disposal.

Depreciation

The methodical distribution of a physical asset's cost over its lifetime, indicating its usage, deterioration, or becoming outdated.

Fixed Asset Turnover

A financial ratio that measures a company's ability to generate net sales from its fixed-asset investments, such as property, plant, and equipment.