The following questions relate to Sharp Ltd. which operates under ideal conditions with the following circumstances: Operates a single asset with a two year useful life Asset will have no value after two years and no disposal costs Interest rate economy wide is 10% The asset will generate $200 if the economy is good and $100 if the economy is bad There is a 50% chance that the economy will be good, and 50% chance that the economy will be bad 1. What is the amortization of the asset in year 1 assuming the economy is bad? a. $136.36 b. $123.97 c. $260.33 d. $100.00 e. $200.00 f. $150.00 g. None of the above 2. What is net income in year one assuming the economy is good? a. $136.36 b. $123.97 c. $76.03 I d. $200.00 e. ($23.97) loss f. $26.03 g. None of the above 3. What are the total assets at the end of year one assuming the economy is bad? a $100.00 b. $136.36 c. $200.00 d. $336.36 e. $236.36 f. $150.00 g. None of the above 4. What are the total assets at the end of year two assuming the economy is good in both year 1 and year 2? a. $400.00 b. $220.00 c. $440,00 d. $336.36 e. $236.36 f. $420,00 g. None of the above The following questions relate to Sharp Ltd. which operates under ideal conditions with the following circumstances: Operates a single asset with a two year useful life Asset will have no value after two years and no disposal costs Interest rate economy wide is 10% The asset will generate $200 if the economy is good and $100 if the economy is bad There is a 50% chance that the economy will be good, and 50% chance that the economy will be bad 1. What is the amortization of the asset in year 1 assuming the economy is bad? a. $136.36 b. $123.97 c. $260.33 d. $100.00 e. $200.00 f. $150.00 g. None of the above 2. What is net income in year one assuming the economy is good? a. $136.36 b. $123.97 c. $76.03 I d. $200.00 e. ($23.97) loss f. $26.03 g. None of the above 3. What are the total assets at the end of year one assuming the economy is bad? a $100.00 b. $136.36 c. $200.00 d. $336.36 e. $236.36 f. $150.00 g. None of the above 4. What are the total assets at the end of year two assuming the economy is good in both year 1 and year 2? a. $400.00 b. $220.00 c. $440,00 d. $336.36 e. $236.36 f. $420,00 g. None of the above