Salvage value is sometimes known as _____________________?
A. Scrap value
B. Going value
C. Junk value
D. Second-hand value
Engineering Economy
The amount of property in which a willing buyer to a willing seller for the property when neither one is under the compulsion to buy nor to sell is called __________________?
The amount of property in which a willing buyer to a willing seller for the property when neither one is under the compulsion to buy nor to sell is called __________________?
A. Fair value
B. Market value
C. Good will value
D. Book value
A mathematical expression also known as the present value of annuity of one is called ____________________?
A mathematical expression also known as the present value of annuity of one is called ____________________?
A. Load factor
B. Demand factor
C. Sinking fund factor
D. Present worth factor
What do you call the after-tax present worth of all depreciation effects over the depreciation period of the asset ?
What do you call the after-tax present worth of all depreciation effects over the depreciation period of the asset ?
A. Asset recovery
B. Depreciation recovery
C. Period recovery
D. After-tax recovery
Using factor method, the depletion at any given year is equal to ?
Using factor method, the depletion at any given year is equal to ?
A. Initial cost of property times number of unit sold during the year divided by the total units in property
B. Initial cost of property divided by the number of units sold during the year
C. Initial cost of property times number of units sold during the year
D. Initial cost of property divided by the total units in property
What is another term for “unit method” for computing depletion ?
What is another term for “unit method” for computing depletion ?
A. Initial cost method
B. Percentage method
C. Factor method
D. Sinking fund method
The depletion allowance method of computing depletion is commonly known as ___________________?
The depletion allowance method of computing depletion is commonly known as ___________________?
A. Unit method
B. Percentage method
C. Factor method
D. Sinking fund method
Under the depletion allowance method in computing depreciation, the depletion charge is equal to either ________________ which ever is smaller ?
Under the depletion allowance method in computing depreciation, the depletion charge is equal to either ________________ which ever is smaller ?
A. Fixed percentage of gross income or the net taxable income
B. Fixed percentage of gross income or 50% of the net taxable income
C. 50% of the fixed percentage of gross income or 50% of the net taxable income
D. 50% of the fixed percentage of gross income or the net taxable income
What are the common methods of computing depletion charge ?
What are the common methods of computing depletion charge ?
A. Rational method and irrational method
B. Conservative method and conventional method
C. Unit method and percentage method
D. Discrete method and depletion allowance method
What is defined as the reduction of the value of certain natural resources such as mines, oil, timber, quarries, etc. due to the gradual extraction of its contents ?
What is defined as the reduction of the value of certain natural resources such as mines, oil, timber, quarries, etc. due to the gradual extraction of its contents ?
A. Depletion
B. Inflation
C. Depreciation
D. Deflation