Salvage Value Was Ignored When Originally Calculating the Units-Of-Production Depreciation

question 145

Multiple Choice

Salvage value was ignored when originally calculating the units-of-production depreciation.This error would cause:

• A)the period's net income to be overstated.
• B)the period's net income to be understated.
• C)the period end assets to be overstated.
• D)None of these is correct.

---

Definitions:

Specific Tariff

Is a fixed fee imposed on imported goods, based on a specific amount per unit (such as per ton, kilogram, or item), as opposed to the value of the goods.

World Price

The international market price of a good, determined by global supply and demand conditions.

Imported

Goods or services brought into one country from another for sale or use.

Government Revenue

The income received by the government from taxes, fees, fines, and other sources.