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In 2021 your firm had 5 computers each with a market value of $4,000

Economics Feb 14, 2022

In 2021 your firm had 5 computers each with a market value of $4,000. In the same year you spent $1,000 for their maintenance and upgrading, and purchased 2 new computers each with a market value of $2,000. By the end of 2021, the total market value of your original 5 computers had dropped to $3,000 (others remained the same). Now we are in 2022. Which of the below are true? 1. II. III. IV. Your capital stock now is $6,000. Your capital stock now is $8,000. Your capital stock did not change from 2021 to 2022. In 2021 you invested $2,000 and depreciation was $2,000. In 2021 you invested $3,000 and depreciation was $1,000. V. a) I and IV. b) II and IV. c) I and V. d) III and IV. e) II and V.

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