Which of the Following Formulas Would You Use to Calculate

question 229

Multiple Choice

Which of the following formulas would you use to calculate the fourth year of depreciation of a $100,000 loan that declines to a salvage value of $25,000 after 10 years?

• A) DB(100000, 25000, 10, 4)
• B) SLN(100000, 25000, 4)
• C) DB(100000, 10, 4)
• D) SLN(25000, 10, 4)

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Definitions:

Civil Liability

Legal responsibility requiring a person to compensate for harm or damage they've caused to another entity.

Unregistered Securities

Securities that have not been registered with the Securities and Exchange Commission (SEC) and thus cannot be legally sold in the public securities markets.

1933 Act

Also known as the Securities Act of 1933, it is a U.S. law enacted as part of the New Deal, requiring securities sold to the public through a formal offer to be registered and to disclose relevant financial information.

Registration

The process of recording information officially, often pertaining to a company, security, or property, to ensure legal recognition.