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Marginal Contribution Model

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Haider Malik
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19 views

Marginal Contribution Model

Uploaded by

Haider Malik
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Marginal contribution model

Objective function

The constraints

Assumptions of Linear program

1. Proportionality(disallows power of variable greater than one)


2. Additivity (restricts multiplication of two variables)
3. Divisibility (the number is allowed to take infinite values between 2 times, continuous values,
meaning fractional values are allowed
4. Certainty ( we cannot express uncertainty e.g 20% chance of this and 30% chance etc, )

On January 1, 2019, the Accumulated Depreciation—Machinery account of a particular company


showed a balance of £370,000. At the end of 2019, after the adjusting entries were posted, it
showed a balance of £395,000. During 2019, one of the machines which cost £125,000 was sold
for £60,500 cash. This resulted in a loss of £4,000. Assuming that no other assets were disposed
of during the year, how much was depreciation expense for 2019?
A. £85,500 B. £93,500 C. £25,000 D. £60,500

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