Question

Indicate whether each of the following actions is primarily related to
(a) Acquisition of long-term assets,
(b) Evaluating the financing of long-term assets, or
(c) Applying the matching rule to long-term assets.
1. Deciding to use the production method of depreciation.
2. Allocating costs on a group purchase.
3. Determining the total units a machine will produce.
4. Deciding to borrow funds to purchase equipment.
5. Estimating the savings a new machine will produce and comparing that amount to cost.
6. Deciding whether to rent or buy a piece of equipment.



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  • CreatedFebruary 23, 2012
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