Company a Uses an Accelerated Depreciation Method While Company B

question 119

Multiple Choice

Company A uses an accelerated depreciation method while Company B uses the straight-line method.All other things being equal,during the first few years of the asset's use,Company B will show which of the following compared to Company A?

• A)A smaller fixed asset turnover ratio and a smaller gain on asset disposal.
• B)A larger fixed asset turnover ratio and a larger gain on asset disposal.
• C)A smaller fixed asset turnover ratio and a larger gain on asset disposal.
• D)A larger fixed asset turnover ratio and a smaller gain on asset disposal.

Evaluate the impact of pornography on society and relationships.

Critically assess the arguments for and against the legalization of prostitution.

Compare the functional roles and societal perceptions of pimps and madams.

Discuss the variance of prostitution practices and attitudes across cultures.

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Definitions:

Economic Profit

The surplus remaining after deducting both explicit and implicit costs from total revenues, emphasizing a firm's financial performance beyond just its accounting profit.

Accounting Profit

Accounting profit is the monetary gain calculated by subtracting total explicit costs from total revenue.

Sunk Cost

A cost that has already been incurred and cannot be recovered, and therefore should not affect current and future business decisions.

Nonrefundable Ticket

A type of ticket for which the cost is not returned to the purchaser if they decide to cancel their booking or are unable to use the ticket.