Unstable Ltd Has Decided to Change Its Depreciation Method from Straight-Line

question 46

Multiple Choice

Unstable Ltd has decided to change its depreciation method from straight-line to reducing balance.As a result,its annual depreciation expense increases by $200 000.The company's income tax rate is 30 per cent.
-What is the effect on the inventory turnover ratio?

• A) It increases.
• B) It decreases.
• C) There is no effect.
• D) It cannot be determined from the information provided.

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Definitions:

Scheduling

The process of organizing, planning, and arranging activities or tasks within a given timeline, often used in healthcare to manage appointments and procedures.

Fast

To abstain from all or some kinds of food or drink, especially as a religious observance.

Minor Surgical Procedure

A surgery considered to be of low risk and complexity, often performed in an outpatient setting.

Scheduling

The process of organizing, planning, and allocating resources or activities over time.