B Company Switched from the Sum-Of-The-Years-Digits Depreciation Method to Straight-Line

question 121

Multiple Choice

B Company switched from the sum-of-the-years-digits depreciation method to straight-line depreciation in 2018. The change affects machinery purchased at the beginning of 2016 at a cost of $72,000. The machinery has an estimated life of five years and an estimated residual value of $3,600. What is B's 2018 depreciation expense?

• A) $9,120.
• B) $13,680.
• C) $15,840.
• D) $19,200.

Recognize the importance of environmental factors and community infrastructure in disease prevention.

Understand the historical development of public health initiatives and their impact on community health.

Analyze the role of government and non-governmental organizations in the advancement of public health.

Identify key figures and their contributions to public health and nursing.

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Definitions:

Economies of Scale

Cost advantages reaped by companies when production becomes efficient, resulting in lower per-unit costs due to increased production volume.

Automobile Industry

The sector of the economy that manufactures and sells motor vehicles.

Inputs

Resources such as labor, materials, and capital that are used in the production process to produce goods and services.

Output

The total amount of goods or services produced by a company or country.