Non-current Assets SBQ

Awesome is $5000 cheaper than Fantastic. This means that....

• business has less assets.

• business has less expenses, since less depreciation expenses

• business has more money for use in other operations.

• business will have more profit.

Fantastic has 2 year more warranty than Awesome. This means that....

• it is a more valued and reliable asset for use in business.

• business has less repairs and maintenance expenses, so higher profit.

• business has more money for use in other operations.

• business will have more profit.

Awesome incurs motor vehicle expenses $0.60 lesser per 100km travelled than Fantastic. This means that....

• it is a more valued and reliable asset for use in business.

• business has less motor vehicle expenses, so higher profit.

• it can travel more distance for a cheaper rate.

• business will have more profit.

Fantastic accommodates 6 students more than Awesome. This means that....

• it is more spacious for the primary school students to travel.

• business will be able to accommodate more students in the minibus.

• business can meet the demand should there be an increase in the future, no losing potential customers.

• business will earn more revenue per ride.

Awesome has seats covered with anti-slip material. This means that....

• it is a more valued and reliable asset for use in business.

• it is more safer for the primary school students to travel.

• it is more comfortable for the students to travel.

• business can charge more for the services provided to the primary school students.

Fantastic has metallic basket below each seat for storing personal items. This means that....

• it is a more valued and reliable asset for use in business.

• it is more safer for the primary school students to travel.

• it is more comfortable for the students to travel.

• business can charge more for the services provided to the primary school students.

List 3 key points you have learnt in answering scenario-based questions today.