Polaris Industries Is Forecasting Its Financial Statements for Year 6

question 29

Multiple Choice

Polaris Industries is forecasting its financial statements for Year 6. Selected financial information for Year 5 is provided in the table. In Year 6 Polaris Industries is planning to invest $50 million in CAPEX. The average depreciation rate is 12%. What is the forecasted depreciation expense in Year 6? Selected Financial Information
Polaris Industries Inc. ($000s)
$$\begin{array} { | c | c | } \hline & \text { Year 5 } \\\hline \text { PP\&E } & 222,336 \\\hline \text { Depreciation } & 28,632 \\\hline \text { CAPEX } & 30,000 \\\hline\end{array}$$

• A)$26,844
• B)$26,824
• C)$30,280
• D)$31,624
• E)$32,680

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Definitions:

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The cognitive process of changing focus from one subject or object to another.

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The ability to exercise control over one's thoughts, behaviors, and emotions in order to achieve specific goals or responses.

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Essentially rephrasing "Salient Aspects," it refers to the most prominent or important features observed in a given context.

Working Memory

A mental system with restricted capacity, tasked with briefly maintaining information for processing.