1. What amount of revaluation surplus will be recognized on December 31, 2016? a. 5,600,000 b. 3,920,000 c. 3,675,000 d. 5,250,000 2. What is the revaluation surplus on December 31, 2017?
Q: The following information has been taken from the cost records of DEF co. for the past year: Raw Mat...
A: Raw material used in production = Beginning inventory of raw + Purchases of raw material - Ending in...
Q: ACCOUNT NAME NORMAL BALANCE Cash in Bank ............................................$46,540 Accou...
A: Normal balance of all the assets, expenses and drawings account will be debit balance. Normal balanc...
Q: nventory information for Part 311 of Sunland Corp. discloses the following information for the month...
A: Inventory valuation is based on the flow of exemption used by the company. There are many methods fo...
Q: ABC and XYZ Inc had the following balance sheets on December 31, 2021: (see image below) On January ...
A: Consolidated financial statements are those statements which are prepared by the parent company in c...
Q: 2017 Feb 3 Purchased equipment for $20000, signing a six-month, 9% note payable. Recorded the week's...
A: Journal is a book in which all business transactions are recorded in this book first, therefore this...
Q: Raytheon Company disclosed the following data related to segment sales and operating profits for fis...
A: GIVEN Raytheon Company disclosed the following data related to segment sales and operating profits...
Q: On December 1, 2021, ABC Company acquired all the assets and liabilities of XYZ Inc. issuing 100,000...
A: Cash 50000 Furniture and fitting 20000 A...
Q: At the beginning of November, Yoshi Inc.'s inventory consists of 63 units with a cost per unit of $9...
A: Inventory cost refers to the price paid for the inventory in addition to any other costs that are in...
Q: XYZ Co had the following accounts at the time it was acquired by ABC Inc (see image below). ABC paid...
A: Cost of acquisition means total expenses incurred by entity to acquire new business or assets. cost ...
Q: On the first day of the fiscal year, Shiller Company borrowed $85,000 by giving a seven-year, 7% ins...
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: what is the correct answer to the bottom part
A: Gross profit margin is one of the profitability ratio, which shows ratio of gross margin with net sa...
Q: PROBLEM: MAY 1 Mr. Tan obtained the funds to start the business by withdrawing P900,000 from his per...
A: The Question requires to calculate the Accounting Equation balances as on 5 days'. Accounting Equati...
Q: Carmen Camry operates a consulting firm called Help Today, which began operations on December 1. On ...
A: Income statement is the financial statement which is prepared to compute the net income and to check...
Q: Supernova Company had the following summarized balance sheet on December 31 of the current year: As...
A: The technique of recording commercial transactions for first time in the books of accounts is known ...
Q: Denzel Brooks opened a Web consulting business called Venture Consultants and completed the followin...
A: A journal entry is used to record a business deal in a company's accounting records. A journal entr...
Q: Here are selected transactions of Mason Consulting Service. Post the transactions into the appropria...
A: Ledger accounts are prepared by the amounts/entries posted from the journal entries. For understandi...
Q: Prepare the sales section of a multiple-step income statement based on this information. Barto Compa...
A:
Q: esearch articles that deal with the benefits which might be derived from the Statement of Cash Flows...
A: In accounting cash flow statement is that financial statement that shows different soucres of cash c...
Q: junior banker's salary at Pans bakery has increased to $110,000 per year. This is an example of the:...
A: The level of management help in measurement .There are qualitative and quantitative analysis. Ordin...
Q: Cash of $12,000 will be received in year 6. Assuming an opportunity cost of capital of 7.2%, which o...
A: Future value is the amount of to be received or paid in future by taking into account the discountin...
Q: ABC and XYZ Inc had the following balance sheets on December 31, 2021: (see image below) On January ...
A: Considerations Paid 40000 Current Assets - 26000 Fixed Assets - 54000
Q: ABC and XYZ Inc had the following balance sheets on December 31, 2021: (see image below) On January ...
A: Consolidated financial statements are those statements which are prepared for the consolidation of t...
Q: Refer to the arrangement in part (b). It would help YellowCard secure lease agreements with students...
A: Journal entry is a process of recording and classifying business transactions into books of accounts...
Q: Chance Company had two operating divisions, one manufacturing farm equipment and the other office su...
A: Income statement is prepared by the business organization so as to know how much amount of Gross pro...
Q: Pedro Corp. currently has sales of P2,000,000, and its days sales outstanding is 2 week. The financi...
A: Given data, Sales =P2,000,000 Days sales outstanding = 2 weeks New sales =50% increase Bad debts =...
Q: On January 1, 2021, ABC Co. acquired all of the identifiable assets and assumed all of the liabiliti...
A: Answer: ABC co has acquired 100% of the shares of XYZ Inc. Given Fair value of identifiable assets o...
Q: The photo given below is the horizontal analysis of Apple Inc income statement for two quotas. Discu...
A: Financial analysis is the one widely used by companies to determine the company's profitability over...
Q: On February 2, 10X1, Solo Company purchased 900 shares of Red Corp. Red Corp has a total of 6,000 sh...
A: Purchase price = 900x 32 =28800 brokerage =2% x 28800= 576 losson ssle of shares =(28x100)-(32x100) ...
Q: Using the following information, prepare a bank reconciliation. Bank balance: $4,021 Book balance: ...
A: A bank reconciliation statement is prepared at a certain time period. It is used to match the book b...
Q: Vilo Company has estimated that total depreciation expense for 2014 will amount to P600,000 and that...
A: The expenses and revenue are recognised and recorded in the period they are actually incurred.
Q: Comprehensive support department allocations Management at C. Pier Press has decided to allocate cos...
A: A direct cost is indeed a price that is directly related to the production of a particular good or s...
Q: Need help for the closing entries and financial statements of this one.
A: Closing entries are those journal entries which are prepared for the closing of all temporary accoun...
Q: Bonita Company sells tablet PCs combined with Internet service, which permits the tablet to connect ...
A: SOLUTION A JOURNAL IS A COMPANY'S OFFICIAL BOOK IN WHICH ALL BUSINESS TRANSATION ARE RECORDED IN CHR...
Q: АВС Со (carrying amounts) (fair values) XYZ Inc Combined Identifiable assets 9,600,000 6,400,000 16,...
A: A Goodwill is said to be an Intangible asset.The percentage of the purchase price that is larger tha...
Q: Financial Accounting I QUESTION TWO The John trading company has undertaken the following transac...
A: The cash book with three column is prepared to record the cash, bank and discount at one olace.
Q: On January 1, 2021, ABC Co. acquired all of the identifiable assets and assumed all of the liabiliti...
A: SOLUTION GOODWILL IS AN INTANGIBLE ASSETS THAT IS ASSOCIATED WITH THE PURCHASE OF ONE BY ANOTHER.
Q: In 2015, Byron was granted 1,000 stock options by his employer, Buxton Corporation. The options vest...
A: Taxable income is the portion of an individual's or a company's income that is used to determine how...
Q: if the value implied by the purchase price of an acquired company exceeds the fair values of the ide...
A: Acquisition refers to purchase of a company by another company by paying purchase consideration in e...
Q: Statement 1: Cost of land includes Unpaid taxes prior to date of acquisition assumedbythe buyer. St...
A: solution concept Land are non depreciable asset and are carried in the balance sheet at the historic...
Q: Required information [The following information applies to the questions displayed below.] Lawson Co...
A: >Financial Statements are prepared at the end of accounting period, and these include: #1: In...
Q: Selected transactions for Martinez, an interior decorator corporation, in its first month of busines...
A: Increase in assets should be debited and decrease in assets should be credited. Increase in liabilit...
Q: You have been provided with the following information for City Projects Ltd: Statement of Comprehens...
A: Ratio Analysis - The ratio is the technique used by the prospective investor or an individual or str...
Q: d. income 18. The source for preparing the schedule of accounts payable is the a. purchase invoices....
A: 18. A schedule of accounts payable constitutes the balance owed by the entity to various suppliers ...
Q: QUESTION 43 Ben is a sole trader carrying on a computer repair business and has four employees. Ben ...
A: Fringe benifit are additional benifits provided by employer to its employees on their performance.
Q: Closing entries in books of blue and royal
A: ROYAL and BLUE have decided to pool their assets and form a new partnership firm. The partnership fi...
Q: BC and XYZ Inc had the following balance sheets on December 31, 2021: (see image below) On January 1...
A: solution given Purchase price 40000 Fair value of current assets of XYZ 26000 Fair v...
Q: Chipman Inc. produces water pumps. Overhead costs have been identified as follows: Activity Pool ...
A: Overheads: Overheads or Overheads cost alludes to a continuous cost of working a business. Overheads...
Q: [The following information applies to the questions displayed below.] Lawson Consulting, which began...
A: Total expenses = Rent expense + Wages expense Net income = Total revenues - Total expenses
Q: BC and XYZ Inc had the following balance sheets on December 31, 2021: (see image below) On January 1...
A: Solution given Purchase price 40000 Fair value of current assets of XYZ 26000 Fair v...
Q: Direct Material Cost per Unit 20.00 Direct Labor Cost 3,000 Manufacturing Overhead 16,000 Selling Ex...
A: Total cost of prodcing included all manufacturing costs in the production process. Prime cost is cos...
Please help me to answer this problem. Thank you
Step by step
Solved in 2 steps
- On January 1, 2014, Klinefelter Company purchased a building for 520,000. The building had an estimated life of 20 years and an estimated residual value of 20,000. The company has been depreciating the building using straight-line depreciation. At the beginning of 2020, the following independent situations occur: a. The company estimates that the building has a remaining life of 10 years (for a total of 16 years). b. The company changes to the sum-of-the-years-digits method. c. The company discovers that it had ignored the estimated residual value in the computation of the annual depreciation each year. Required: For each of the independent situations, prepare all journal entries related to the building for 2020. Ignore income taxes.During the current year, Arkells Inc. made the following expenditures relating to plant machinery. Renovated seven machines for $250,000 to improve efficiency in production of their remaining useful life of eight years Low-cost repairs throughout the year totaled $79,000 Replaced a broken gear on a machine for $6,000 A. What amount should be expensed during the period? B. What amount should be capitalized during the period?Chapman Inc. purchased a piece of equipment in 2018. Chapman depreciated the equipment on a straight-line basis over a useful life of 10 years and used a residual value of $12,000. Chapmans depreciation expense for 2019 was $11,000. What was the original cost of the building? a. $98,000 b. $110,000 c. $122,000 d. $134,000
- Grandorf Company replaced the engine in a truck for 8,000 and expects the new engine will extend the life of the truck two years beyond the original estimated life. Related information is provided below. Cost of truck 65,000 Salvage value 5,000 Original estimated life 6 years The truck was purchased on January 1, 20-1. The engine was replaced on January 1, 20-6. Using straight-line depreciation, compute depreciation expense for 20-6.Albany Corporation purchased equipment at the beginning of Year 1 for 75,000. The asset does not have a residual value and is estimated to be in service for 8 years. Calculate the depreciation expense for Years 1 and 2 using the double-declining-balance method. Round to the nearest dollar.Urquhart Global purchases a building to house its administrative offices for $500,000. The best estimate of the salvage value at the time of purchase was $45,000, and it is expected to be used for forty years. Urquhart uses the straight-line depreciation method for all buildings. After ten years of recording depreciation, Urquhart determines that the building will be useful for a total of fifty years instead of forty. Calculate annual depreciation expense for the first ten years. Determine the depreciation expense for the final forty years of the assets life, and create the journal entry for year eleven.
- During the current year, Arkells Inc. made the following expenditures relating to plant machinery. Renovated five machines for $100,000 to improve efficiency in production of their remaining useful life of five years Low-cost repairs throughout the year totaled $70,000 Replaced a broken gear on a machine for $10,000 A. What amount should be expensed during the period? B. What amount should be capitalized during the period?Kam Company purchased a machine on January 2, 2019, for 20,000. The machine had an expected life of 8 years and a residual value of 300. The double-declining-balance method of depreciation is used. Required: 1. Compute the depreciation expense for each year of the assets life and book value at the end of each year. 2. Assuming that the company has a policy of always changing to the straight-line method at the midpoint of the assets life, compute the depreciation expense for each year of the assets life. 3. Assuming that the company always changes to the straight-line method at the beginning of the year when the annual straight-line amount exceeds the double-declining-balance amount, compute the depreciation expense for each year of the assets life.Akron Incorporated purchased an asset at the beginning of Year 1 for 375,000. The estimated residual value is 15,000. Akron estimates that the asset has a service life of 5 years. Calculate the depreciation expense using the sum-of-the-years-digits method for Years 1 and 2 of the assets life.