D0 and has a residual value of $80,000 after six years of use. The amon iation generated by the machine is $30,000. What is the ARR?
Q: Oahu Kiki tracks the number of units purchased and sold throughout each accounting period but ap at ...
A: Let's understand some basics Ending Inventory is the goods which are purchased but no yet sold at th...
Q: n the E&M Partnership, Edward invests USD120,000 in cash, and inventory with a cost of USD120,000 an...
A: >Partnership is the business entity where there are two or more than two owners, known as partner...
Q: mile company exchanged used equipment for another equipment of Frown Company. The following informat...
A: These are the accounting transactions that are having a monetary impact on the financial statement o...
Q: A3
A: Fundamental analysis (FA) seems to be a way of determining the intrinsic value of security by lookin...
Q: Required information [The following information applies to the questions displayed below.] Intercont...
A: Replacement cost = Required quantity ( in units ) * Replacement cost per unit Cost of order = Quanti...
Q: Oriole Ltd. has these transactions related to intangible assets and goodwill in 2021, its first year...
A: The procedure of entering business transactions for first time in the books of accounts is known as ...
Q: 2-a. Calculate the benefit under each alternative for disposing of the obsolete parts. 2-b. How shou...
A: Solution:- 2-a) Calculation of the benefit under each alternative for disposing of the obsolete part...
Q: What is the difference between Direct and Indirect Financing?
A: Difference between direct financing and indirect financing are as follows
Q: Trial Balance for Lowe's Repair Services june 1. A. lowe invested 7000 cash and 5000 worth of repai...
A: Trail balance for the june 2022
Q: a) Will credit cards help? The average undergraduate student leaves college with a diploma and aroun...
A: a) Yes, Credit Cards will help as long as we are paying the interest amount on time and principal am...
Q: Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-...
A: Pension expense is the amount business charged as an expense for pension payable to the employees du...
Q: Per Unit $ 32.00 19.00 $ 13.00 Total Sales (7,200 units) Variable expenses $ 230,400 136,800 Contrib...
A: Ans. for Question No. 2. Revised Net Operating Income $ 37,350
Q: 1. Following the depreciation example on page 7-7 of the VLN determine Activity based year 2 accumul...
A: Depreciation Expenses Calculation of Depreciation cost is important for the business which can be re...
Q: Required information [The following information applies to the questions displayed below.] Built-Tig...
A: The cash budget is prepared to record cash receipts and cash payments for the period and find out an...
Q: What are the defenses that someone can take to charges of violations under the 1933 securities act?
A: Defenses are explained below
Q: can you help me make Trial Balance for Lowe's Repair Services june 1. A. lowe invested 7000 cash a...
A: A trial balance is an accounting worksheet that aggregates all ledger balances into equal debit and ...
Q: Question Content Area Permanent differences impact deferred tax assets. current tax liabilities. def...
A: There are two type of differences in accounting. One is permanent differences and other is temporary...
Q: nd is not a user of the fund but a surplus unit, what do you think is the most suitable money market...
A: In Philippines there are different type of money market fund which are available for the investment ...
Q: Maximizing profits means to ______. a. create a balance between seeking economic profits and seeking...
A: Answer Option C is correct - Increase the difference between what is given up for input and what is ...
Q: 1. Disposal of an asset. From pages 7-7 and 7-8 of the VLN, the company sold the mower after using i...
A: Depreciation means the amount fixed assets written off due to normal wear and tear , normal usage , ...
Q: Lui, Montavo, and Johnson plan to liquidate their Premium Pool and Spa business. They have always sh...
A: Liquidation of Partnership - Liquidation of partnership is the process of selling all the assets ava...
Q: At the beginning of 2021, Gala company purchased equity securities to held for trading for P5,000,00...
A: The correct answer is given in the following steps for your reference
Q: Parent own 100% of Sub. On the open market parent bought all bonds of the Sub for Sa0o,000 on Jamuar...
A: In this question ,we ae given with Interest Expense = 40,000Interest Revenue = 37,000Explanation:Int...
Q: On the basis of the following data, determine the value of the inventory at the lower-of-cost-or-mar...
A: Inventories are recognized lower of cost or market. This rule is applied to inventory item-wise. ...
Q: 8. C. Walton sold inventory on 1 August to M. Jones for $990 (including $90 GST). On 20 August, Jone...
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: bba Company accounted for noncurrent assets using the revakuation model. On June 30,2021, the entity...
A: Solution Concept When the fair value exceeds the carrying amount The asset is revalued and the amoun...
Q: 4) Selected accounts follow of Bramble Limited at December 31, 2020: Finished Goods Inventory $1...
A: A balance sheet is a representation of an individual's personal or corporation's financial balances ...
Q: A company had the following transactions during September, the first month of its operations: Issued...
A: The income statement is prepared to record the revenues and expenses of the current period. It tells...
Q: Clara Company purchased equipment for P5,000,000 on January 1, 2021 with a useful life of 10 years a...
A: We know that Impairment loss can be calculated as follow = Carrying value - Recoverable amount. Reco...
Q: CCT 328, HW 2 Due no later than Mar 13, 2022 11:55 PM:
A: RRSP means Registered Retirement Saving Plan. A taxpay...
Q: -- 9, fg, and flg and = 5 - x, g(x) = x2 x).
A: Given: fx=5-xgx=x2-4x
Q: Assume that you are one of the owners of Pinoy Corporation. Upon reviewing the project income statem...
A: The income statements are projected to forecast the profit in future years on the basis of estimatio...
Q: Denber Co. acquired 60% of the common stock of Kailey Corp. on September 30, 2019. For 2019, Kailey ...
A: The acquisition means that the the company acquires the other company by acquiring more than 50% int...
Q: Stock Dividends and Stock Splits The balance sheet of Castle Corporation includes the following sto...
A: Stock Dividend and Stock Split are two methods by which corporations increases the count of outstand...
Q: Juan invested $10,500 into a fund earning 7.50% compounded monthly. She plans to withdraw $700 from ...
A: Working note for calculations. Note for Converting Quarter into years:- Number of year to deplete =...
Q: Scrimshander, Inc. is a shipping company, transporting goods using cargo ships. On January 1, 2017, ...
A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets ...
Q: 8. C. Walton sold inventory on 1 August to M. Jones for $990 (including $90 GST). On 20 August, Jone...
A: Let's understand the basics Journal entry is used to record the transaction of business there are 3...
Q: ds for the next 3 months. She badly needed P30,000,000 in cash because of an emergency. Pielago look...
A: Money Market Fund Money market fund is also called short term financial fund which can be generate t...
Q: Milan Company issued bonds with a face value of $275,000 on January 1, Year 1. The bonds had a 7 per...
A: Formula: Interest expense = Bond face value x Interest rate x Time period
Q: Fostoria Corporation began the current period with $21,975 of raw materials, purchased $97,950 of ra...
A: Raw materials are those materials which are used by the business for the purpose of production or ma...
Q: A company had the following transactions during September, the first month of its operations: Issued...
A: Formula: Net income = Revenues - Expenses
Q: 80. Oblation Bank loaned P9,000,000 to a borrower on January 1, 2017. The terms of the loan were pay...
A: Calculation of impairment loss, interest income , carrying amount are as follows.
Q: SG Ltd. has historically paid a dividend of $2.50 to its shareholders semi-annually. The company has...
A: Dividend price approach with constant growth: According to Gordon Growth Model, the rate of dividend...
Q: On February 1, 2020, Tessa Williams and Audrey Xie formed a partnership in Ontario. Williams contrib...
A: Partnership Business: According to the definition, a partnership business is comprised of two or mor...
Q: The aggregate cash flows arising from obtaining or losing control of subsidiaries or other businesse...
A: The investment in a company or other business to gain control is an investing activity. So, the cash...
Q: Bates Company plans to add a new item to its line of consumer product offerings. Two possible produc...
A: Differential revenue is the difference in products sales price. The sale price can be calculated by ...
Q: The following information relates to the Davensmith Company: Interest payable, beginning of period ...
A: For calculating interest paid, we need to use below formula. Interest paid = Interest expense record...
Q: The converted daily compensation rate of Anna is P2,000. On top of her salary, she receives a daily ...
A: Compensation is a systematic approach to providing monetary value to employees in exchange of work p...
Q: Fred is considering three job offers in advertising. A full-time position as a coordinator that pay...
A: Gross is the income ,which a person get without deduction of tax,social security tax, medicare tax ...
Q: 9. Statement 1: Equity investments at FVPL are assessed for impairment. Statement 2: Dividends are r...
A: An impaired asset is one that has a market value that is lower than the value indicated on the compa...
Step by step
Solved in 2 steps
- Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for 125,000 miles. Montello uses the units-of-production depreciation method, and in year one it expects to use the truck for 26,000 miles. Calculate the annual depreciation expense.Utica Machinery Company purchases an asset for 1,200,000. After the machine has been used for 25,000 hours, the company expects to sell the asset for 150,000. What is the depreciation rate per hour based on activity?Colquhoun International purchases a warehouse for $300,000. The best estimate of the salvage value at the time of purchase was $15,000, and it is expected to be used for twenty-five years. Colquhoun uses the straight-line depreciation method for all warehouse buildings. After four years of recording depreciation, Colquhoun determines that the warehouse will be useful for only another fifteen years. Calculate annual depreciation expense for the first four years. Determine the depreciation expense for the final fifteen years of the assets life, and create the journal entry for year five.
- Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for 125,000 miles. Montello uses the units-of-production depreciation method, and in year one the company expects the truck to be driven for 26,000 miles; in year two, 30,000 miles; and in year three, 40,000 miles. Consider how the purchase of the truck will impact Montellos depreciation expense each year and what the trucks book value will be each year after depreciation expense is recorded.Susquehanna Company purchased an asset at the beginning of the current year for 250,000. The estimated residual value is 25,000. Susquehanna estimates that the asset will be used for 10 years and uses straight-line depreciation. Calculate the depreciation expense per year.Montezuma Inc. purchases a delivery truck for $20,000. The truck has a salvage value of $8,000 and is expected to be driven for ten years. Montezuma uses the straight-line depreciation method. Calculate the annual depreciation expense. After five years of recording depreciation, Montezuma determines that the delivery truck will be useful for another five years (ten years in total, as originally expected) and that the salvage value will increase to $10,000. Determine the depreciation expense for the final five years of the assets life, and create the journal entry for years 6–10 (the entry will be the same for each of the five years).
- Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for ten years. Montello uses the straight-line depreciation method. Calculate the annual depreciation expense.Montezuma Inc. purchases a delivery truck for $15,000. The truck has a salvage value of $3,000 and is expected to be driven for eight years. Montezuma uses the straight-line depreciation method. Calculate the annual depreciation expense. After three years of recording depreciation, Montezuma determines that the delivery truck will only be useful for another three years and that the salvage value will increase to $4,000. Determine the depreciation expense for the final three years of the assets life, and create the journal entry for year four.Montello Inc. purchases a delivery truck for $15,000. The truck has a salvage value of $3,000 and is expected to be driven for eight years. Montello uses the straight-line depreciation method. Calculate the annual depreciation expense.
- 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.Referring to PA7 where Kenzie Company purchased a 3-D printer for $450,000, consider how the purchase of the printer impacts not only depreciation expense each year but also the assets book value. What amount will be recorded as depreciation expense each year, and what will the book value be at the end of each year after depreciation is recorded?Dunedin Drilling Company recently acquired a new machine at a cost of 350,000. The machine has an estimated useful life of four years or 100,000 hours, and a salvage value of 30,000. This machine will be used 30,000 hours during Year 1, 20,000 hours in Year 2, 40,000 hours in Year 3, and 10,000 hours in Year 4. With DEPREC5 still on the screen, click the Chart sheet tab. This chart shows the accumulated depreciation under all three depreciation methods. Identify below the depreciation method that each represents. Series 1 _____________________ Series 2 _____________________ Series 3 _____________________ When the assignment is complete, close the file without saving it again. Worksheet. The problem thus far has assumed that assets are depreciated a full year in the year acquired. Normally, depreciation begins in the month acquired. For example, an asset acquired at the beginning of April is depreciated for only nine months in the year of acquisition. Modify the DEPREC2 worksheet to include the month of acquisition as an additional item of input. To demonstrate proper handling of this factor on the depreciation schedule, modify the formulas for the first two years. Some of the formulas may not actually need to be revised. Do not modify the formulas for Years 3 through 8 and ignore the numbers shown in those years. Some will be incorrect as will be some of the totals. Preview the printout to make sure that the worksheet will print neatly on one page, and then print the worksheet. Save the completed file as DEPRECT. Hint: Insert the month in row 6 of the Data Section specifying the month by a number (e.g., April is the fourth month of the year). Redo the formulas for Years 1 and 2. For the units of production method, assume no change in the estimated hours for both years. Chart. Using the DEPREC5 file, prepare a line chart or XY chart that plots annual depreciation expense under all three depreciation methods. No Chart Data Table is needed; use the range B29 to E36 on the worksheet as a basis for preparing the chart if you prepare an XY chart. Use C29 to E36 if you prepare a line chart. Enter your name somewhere on the chart. Save the file again as DEPREC5. Print the chart.