The Following Linear Trend Equation Was Developed for Annual Sales

question 77

Multiple Choice

The following linear trend equation was developed for annual sales from 2005 to 2009, with 2005 as the base year. = 500 + 60t (in $thousands) . What are the estimated sales for 2010 (in $thousands) ?

• A) $500
• B) $860
• C) $1,040
• D) $1,100

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Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset since it was acquired and placed into service.

Balance Sheet

is a financial statement that provides a snapshot of a company's financial position at a specific point in time, detailing assets, liabilities, and equity.

Income Statement

A report that outlines a business's financial activities, including income, expenses, and overall profit or loss, for a set period.

Financial Statements

Comprehensive reports created from a company's accounting data, intended to present the financial performance and position of the company.