A Machine Was Purchased for $54,000 and It Was Estimated

question 193

Multiple Choice

A machine was purchased for $54,000 and it was estimated to have a $9,000 salvage value at the end of its useful life.Monthly depreciation expense of $600 was recorded using the straight-line method.The annual depreciation rate is

• A)20%.
• B)1.6%.
• C)12.8%.
• D)16.0%.

---

Definitions:

Payoff

The return or outcome received from an investment or decision, which can be in the form of profit, satisfaction, or achievement of goals.

Negotiation Consultant

A professional who advises and represents individuals or organizations in negotiations to optimize the outcome of deals or disputes.

Simultaneous Move Game

A strategic scenario where all players make their decisions at the same time, without knowledge of others' actions.

Consulting Costs

Expenses associated with hiring experts to provide professional advice, guidance, or problem-solving.