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question 71

Multiple Choice

[The following information applies to the questions displayed below.]
The Terme Corporation is contemplating the purchase of new equipment,which may potentially increase revenues by 25%.Currently,sales are $750,000 per year and variable costs are 55% of sales.The equipment is expected to last for 5 years with no residual value.The cash outflow expected at the beginning of the year is $ 357,500.
-What is the amount of depreciation deduction the company could expense annually assuming the straight-line depreciation method is used?

• A)$75,000
• B)$41,250
• C)$71,500
• D)$30,250

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Definitions:

Right Hemisphere

The half of the brain that is typically associated with spatial abilities, face recognition, visual imagery, and the processing of music and emotional content.

Visual Information

The data received and processed by the visual system, enabling the perception of objects, movement, and color.

Recognizing Objects

The cognitive process of identifying and categorizing objects in one's environment based on appearance, shape, and context.

Lateral Specialization

Refers to the tendency for some neural functions or cognitive processes to be more dominant in one hemisphere of the brain than in the other.