The average useful life of Valley's depreciable assets at the end of its year is: 20 years O 24.5 years 23.6 years 24.9 years

Q: OCF analysis

A: Operating Cashflow Analysis  = Net Income + Depreciation and Amortization- Net Working capital

Q: How is ARR calculated?

A: ARR: Accounting Rate of Return (ARR) is the rate of return earned on the investment made in a…

Q: What are ADRs?

A: Answer: An American depositary receipt (ADR) is a negotiable asset that denotes a non-US company…

Q: Describe the functions and powers of ASIC

A: Australian securities and investment commission is a commission made in 1998 of Australian…

Q: A figured out

A: Pre determined Overhead rate Calculation  Overhead cost  $      28,80,000 Divided By  Direct…

Q: Define terminal value

A: Terminal value is the value of the project or the security at the end of a specified future date.…

Q: What is the SML? What is the CAPM? What is the APT?

A: Security Market Line (SML):The Security Market Line (SML) is a graphical representation of the…

Q: Define NRV method.

A: Definition:   Product costs: The costs incurred to acquire the merchandise, ship the stock, prepare…

Q: WHAT'S THE ANSWER TO D, E AND F?

A: Given, Net nonoperating obligations (NNO) Return on equity (ROE) Nonoperating return component of…

Q: Cullumber Corporation issued $7,680,000 of 8% bonds on October 1, 2024, due on October 1, 2029. The…

A: The bonds can be issued at par or premium, when the bonds are issued at discount and it can be…

Q: Discussion points: As a plant employee, what is your responsibility to report your findings to…

A: ANSWER:-   1) As a plant employee, I should care about the profitability of the plant.Therefore, it…

Q: Define Volcker rule

A: Volcker Rule is a regulation that implies restrictions on the banks to involve in the stock market…

Q: What is MM Proposition I?

A: Modigliani and Miller’s approach is an element of economic theory and it forms the basis for modern…

Q: What is alpha transfer?

A: The term ‘Alpha’ refers to the active return on investment. In other words, the excess return from…

Q: Define agent

A: Introduction: An agent is a party that has oral or written authority to perform for another…

Q: Define SML equation

A: Introduction: Security market line is the diagrammatic depiction of capital asset pricing model to…

Q: What is cpj

A: Financial accounting involves the work of recording and posting of financial transactions into the…

Q: What is a CMO?

A: A collateralize mortgage obligation (CMO) refers to a type of mortgage-backed security that contains…

Q: Define Will.

A: A will is a legal document in which a person specifies how his property is going to be distributed…

Q: Define collection policy

A: Introduction: A mutual responsibility between the operating departments, accounts receivables is to…

Q: what about quesitons E and F?

A: Work in progress (WIP) also called work in process, is inventory that has begun the manufacturing…

Q: 1- Give the journal entry for each transaction. 2- Post each transaction to T accounts.

A:

Q: 1. Pamela Company showed the following accounts on December 31, 2020. Bonds Payable 5,000,000…

A: Calculation of Gain/Loss on conversion: Bonds Payable 5,000,000 Conversion privilege 500,000…

Q: What is APR?

A: In US, calculation as well as disclosure of Annual Percentage Rate is basically government by an act…

Q: Define Profi t and loss (P&L) statement

A: Introduction: The financial statement is a detailed analysis of the financial situation of the…

Q: Can you answer part E of this qu

A: Payroll taxes are defined as the amounts collected by the government or revenue collection authority…

Q: Working/Application of ABC analysis?

A: Solution Activity based coating (ABC) is a method of assigning overhead and indirect cost -Such as…

Depreciation Methods

The word "depreciation" is defined as an accounting method wherein the cost of tangible assets is spread over its useful life and it usually denotes how much of the assets value has been used up. The depreciation is usually considered as an operating expense. The main reason behind depreciation includes wear and tear of the assets, obsolescence etc.

Depreciation Accounting

In terms of accounting, with the passage of time the value of a fixed asset (like machinery, plants, furniture etc.) goes down over a specific period of time is known as depreciation. Now, the question comes in your mind, why the value of the fixed asset reduces over time.