On the First Day of the Year Tan Traders Purchased

question 16

Multiple Choice

On the first day of the year Tan Traders purchased a forklift truck for $12 000 which is to be depreciated by 25% a year.At the end of the first year:

• A)Depreciation in the income statement is $3 000 and the carrying value of the forklift in the balance sheet is $12 000
• B)Depreciation in the income statement is $3 000 and the carrying value of the forklift in the balance sheet is $15 000
• C)Depreciation in the income statement is $3 000 and the carrying value of the forklift in the balance sheet is $9 000
• D)Depreciation in the income statement is $0 and the carrying value of the forklift in the balance sheet is $12 000

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Definitions:

Market Share

The share of the market's total sales volume that is held by a specific brand, product, or company.

Competitor-Oriented Objective

Goals set by a company with a focus on outperforming competitors, often through pricing strategies, product features, or marketing efforts.

Customer-Oriented Activity

Business actions focused on satisfying customer needs and preferences, aiming to build long-term relationships and enhance customer satisfaction.