A Moving to the next question prevents changes to this answer. Shane Company acquired shooting rights 5,000 acres paying $100 per acre. Journalised the transaction: For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial 10pt AV 三 x?X: 深T Te RBC Nonbreaking space G and G costs nondirect dr 100 cash cr 100 田田

A Moving to the next question prevents changes to this answer. Shane Company acquired shooting rights 5,000 acres paying $100 per acre. Journalised the transaction: For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial 10pt AV 三 x?X: 深T Te RBC Nonbreaking space G and G costs nondirect dr 100 cash cr 100 田田

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Land, a building and equipment are acquired for a lump sum of $900,000. The market values of the land, building an equipment are $500,000, $600,000 and $200,000, respectively. What is the cost assigneed to the equipment? (Do not round to any intermediary calculations and round your final answer to the nearest dollar). A. $0 B. $900,000 C. $200,000 D. $138,462 thnaka sfor help appareicated
The following information pertains to the January 2, year 2 transaction replacing a print machine for Hidden Creek Enterprises, Inc.Net book value – old print machine $20,000Total cost of new machine $180,000Down payment on new machine $35,000Sale price of old machine $30,000Tax rate 30%What is the net total of relevant costs on January 2, year 2?a. $173,000b. $153,000c. $28,000d. 8,000.
Al Meedaniyah Company business purchased a machine for RO 25,000. The manager estimates the value of the machine to be RO 26000 in the market. If the Business follows Historical Cost concept, the amount to be recorded for Machine is a. RO 5000 b. RO 25,000 c. RO 26,000 d. RO 1,000
On November 18 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment. The total cost of the purchase was $1,500,500; $363,000 was allocated to the basis of the land and the remaining $1,137,500 was allocated to the basis of the building. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. d. Assume the building is residential property. Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3? e. What would be the depreciation for 2022, 2023, and 2024 if the property were nonresidential property purchased and placed in service November 18, 2005 (assume the same original basis)?
On March 14 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment. The total cost of the purchase was $1,475,500; $328,000 was allocated to the basis of the land and the remaining $1,147,500 was allocated to the basis of the building. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) c. Assume the building was purchased and placed in service on December 7 instead of March 14. Using MACRS, what is Javier’s depreciation deduction on the building for years 1 through 3?
On November 18 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment. The total cost of the purchase was $1,500,500; $363,000 was allocated to the basis of the land and the remaining $1,137,500 was allocated to the basis of the building. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3? What would be the year 3 depreciation deduction if the building was sold on January 22 of year 3? Assume the building was purchased and placed in service on October 13 instead of November 18. Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3? Assume the building is residential property. Using MACRS, what is Javier's depreciation deduction on the building for years 1 through 3? What would be the depreciation for 2022,…
The Aghfa Id purchased new machinery for Rs 1,400,000 with 6years estimated useful life andno salvage value, on 1s July, 2015.It's a company policy to charge depreciation @ 15% onreducing balance method. The company got 5% discount on machine cost due to special effortsof purchase manager. An additional engineer is hired to operate such machine at salary ofRs.50, 000 pm. As machine was imported so import duty @ 2% is charged on net purchase price.Installation and other expenses were Rs.600, 000 and Rs.100, 000 respectively. After installmentmanagement conducts initial testing that was cost Rs.150, 000 and scrap from testing wasrealized for Rs.20, 000. Marketing department estimates Rs.200, 000 for the promotion of newproduct.Requirement:1. Find total initial cost2.Prepare the depreciation schedule.
A company bought a machine for BD300,000 which has a useful life of 7 years and can be sold for BD30,000 at the end of its useful life. Determine the Depreciation schedules, dn Accumulated depreciation, Dn Book value, Cn using straight line method and double declining balance method. Generate the plots using Microsoft excel. Repeat problem #1 if there is an installation cost of BD20,000. Repeat problem #1 if there is a dismantling cost of BD5,000. The coupon interest rate issued by Jordan Company on a 10-year bond is 10%, with a par value of BD1,000 and pays interest semi-annually. The required annual return expected by the company is 12%. Determine the bond’s value?
On November 10 of year 1, Javier purchased a building, including the land it was on, to assemble his new equipment. The total cost of the purchase was $1,200,000; $300,000 was allocated to the basis of the land and the remaining $900,000 was allocated to the basis of the building. (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.
Hollings Company sells and delivers office furniture in the Rocky Mountain area.The costs associated with the acquisition and annual operation of a delivery truck are given below:Insurance ............................................. $1,600Licenses ............................................... $250Taxes (vehicle) ..................................... $150Garage rent for parking (per truck) ...... $1,200Depreciation ($9,000 5 years) .......... $1,800*Gasoline, oil, tires, and repairs ............ $0.07 per mile*Based on obsolescence rather than on wear and tear.Required:1. Assume that Hollings Company has purchased one truck that has been driven 50,000 miles during thefirst year. Compute the average cost per mile of owning and operating the truck.2. At the beginning of the second year, Hollings Company is unsure whether to use the truck or leaveit parked in the garage and have all hauling done commercially. (The state requires the payment ofvehicle taxes even if the vehicle isn’t…
Merchant Company purchased land for a building site. The costs associated with the property were: Purchase price $ 188,000 Real estate commissions 16,300 Legal fees 2,100 Expenses of clearing the land 3,300 What is the total recorded cost of the land? Mutiple Choice $192,100 $206,400 $188,000 $209,700 $204,300
LAR Corp. purchased a commercial range by paying cash of $13,500. The range's fair value on the date of the purchase was $14,000. The company incurred $600 in transportation costs, $400 installation fees, and paid $500 annual insurance on the equipment. For what amount will LAR record the range? Select one: a. $14,500 b. $15,500 c. $13,500 d. $15,000 e. $14,000