abbott landscaping purchased a tractor at a cost of $42,000 and sold it three years later for $21,600. abbott recorded depreciation using the straight-line method, a five-year service life, and a $3,000 residual value. tractors are included in the equipment account.

With signals from no-claim bonuses and deductibles, a. the marginal cost curve for careful drivers lies to the left of the marginal cost curve for aggressive drivers b. auto insurance companies insure more aggressive drivers than careful drivers because aggressive drivers have a greater need for the insurance c. the market for car insurance has a separating equilibrium, and the market is efficient d. most drivers pay higher premiums than if the market had no signals