On October 2,2015,Dave Acquired and Placed into Service 5-Year Business

question 1

Multiple Choice

On October 2,2015,Dave acquired and placed into service 5-year business equipment costing $70,000.No other acquisitions were made during the year.Dave does not use Sec.179 expensing.The depreciation for this year is using the most accelerated method possible is

• A)$0.
• B)$3,500.
• C)$7,000.
• D)$10,003.

Conduct differential analysis for further processing and make or buy decisions.

Apply the variable cost concept in setting prices and calculating desired profits.

Utilize the total cost concept for product pricing and understand its distinction from the variable cost concept.

Identify the profitability of products using contribution margin analysis and the theory of constraints.