MCQS: Eton Corporation purchased land in 1998 for $190,000. In 2014, it purchased a nearly identical parcel of land for $430,000. In its 2014 balance sheet, Eton valued these two parcels of land at a combined value of $860,000. Reporting the land in this manner violated the: Cost principle. Principle of the business entity. Objectivity principle. Going-concern assumption MCQS: On March 2, 2014, Glen Industries purchased a fleet of automobiles at a cost of $550,000. The cars are to be depreciated by the straight-line method over five years with no salvage value. Glen uses the half-year convention to compute depreciation for fractional periods. The book value of the fleet of automobiles at December 31, 2015, will be:
MCQS: Eton Corporation purchased land in 1998 for $190,000. In 2014, it purchased a nearly identical parcel of land for $430,000. In its 2014 balance sheet, Eton valued these two parcels of land at a combined value of $860,000. Reporting the land in this manner violated the: Cost principle. Principle of the business entity. Objectivity principle. Going-concern assumption MCQS: On March 2, 2014, Glen Industries purchased a fleet of automobiles at a cost of $550,000. The cars are to be depreciated by the straight-line method over five years with no salvage value. Glen uses the half-year convention to compute depreciation for fractional periods. The book value of the fleet of automobiles at December 31, 2015, will be:
Chapter17: Property Transactions: § 1231 And Recapture Provisions
Section: Chapter Questions
Problem 40P
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Question
MCQS:
Eton Corporation purchased land in 1998 for $190,000. In 2014, it purchased a nearly identical parcel of land for $430,000. In its 2014 balance sheet, Eton valued these two parcels of land at a combined value of $860,000. Reporting the land in this manner violated the:
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Cost principle.
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Principle of the business entity.
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Objectivity principle.
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Going-concern assumption
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MCQS:
On March 2, 2014, Glen Industries purchased a fleet of automobiles at a cost of $550,000. The cars are to be
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