Use the Information Below to Answer the Following Question(s)

question 45

Multiple Choice

Use the information below to answer the following question(s) .The following data are available for a foundry operation started as a new company four years ago when the construction cost index was 125:
* = "of long-term assets at historical cost"
-What is the current cost annual depreciation in year 4 dollars?

• A)$165,000
• B)$200,000
• C)$240,000
• D)$295,000
• E)$440,000

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Definitions:

Commercial Impracticability

A doctrine in contract law that allows parties to be excused from performance when an unforeseen event makes fulfillment of the contract unreasonably difficult or expensive.

Thrifty Rent-A-Car System

An American car rental company that provides vehicle rentals to consumers and is recognized for its cost-effective options.

Hurricanes

Powerful tropical storms with strong winds that form over warm ocean waters, capable of causing significant damage.

Implied Condition

A condition that is not specifically and explicitly stated but is inferred from the nature and language of the contract.