QS 8-15 (Algo) Intangible assets and amortization LO P4 On January 1 of this year, Diaz Boutique pays $130,000 to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These improvements are estimated to yield benefits for 8 years. Diaz leases (does not own) its store and has 5 years remaining on the lease.    1. & 2. Prepare the journal entry to record the cost of modernization and amortization at the end of this current year.

Q: Interstate Manufacturing is considering either replacing one of its old machines with a new machine…

A: In order to determine the net present value, the present value of cash outflow are required to be…

Q: Brindle Arts uses Variable Costing for internal purposes, but uses Absorption Costing for their…

A: Variable Costing and Absorption Costing The main difference between the variable costing techniques…

Q: Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the…

A: Under the units-of-production method or activity method the yearly depreciation is calculated based…

Q: The following information relates to Wilson, Inc.’s equipment lease with an inception date of…

A: Lease liability is the amount of obligation that has arisen from the leased asset. In a lease…

Q: Required information Comprehensive Problem 15-81 (LO 15-1, LO 15-2, LO 15-3, LO 15-4, LO 15-5, LO…

A: Beginning tax basis of Lance: 12300 Beginning tax basis of Francesca: 4700 Partnership…

Q: Jimmy Flores completed this transactions during the first half of December Dec 2 Invested P120,000…

A: Hi student Since there are multiple subparts, we will answer only first three subparts. Journal…

Q: Checkbook balance:​$1,792.50 Bank statement balance: ​$972.00 Checks outstanding (checks written…

A: Ideally cash balance as per cashbook must reconcile with bank balance as per bank statement. If…

Q: Stargel Inc. common stock was $119.70 on December 31, 2014. Retained earnings, January 1. Add net…

A: Ratio analysis is a quantitative technique for analyzing a corporation's financial statements, like…

Q: Blossom Inc. issues $210,000, 10-year, 8% bonds at 96. Prepare the journal entry to record the sale…

A: The process of recording business transactions in the books of accounts for the first time is…

Q: Determine the second-year depreciation using the straight-line method.

A: Depreciation is a periodical expenses charged to the profit and loss account over the asset life.…

Q: On April 10, Salt Company received a cheque trom Pepper Company for payment of an invoice dated…

A: Introduction:- The term is 2/10 , n 30  means 2% discount is allowed if payment made in less than 10…

Q: Assume a company with two divisions (A and B) prepared the following segmented income statement:…

A: Break even is the point at which an entity is just recovering its costs from the revenues but not…

Q: During the current year ended December 31, clients paid fees in advance for accounting services…

A: Unearned Service Revenue :— It is revenue that is not accrued but cash for the revenue is received…

Q: For February, sales revenue is $900,000; sales commissions are 5% of sales; the sales manager's…

A: Introduction: The costs of delivering, marketing, and selling goods or services are referred to as…

Q: You have a credit card that charges an interest rate of 10.95% compounded monthly. The table below…

A: Given: Interest rate 10.95%   Date Activity Amount 1-Apr Beginning balance…

Q: Brembo, an Italian automotive braking-systems supplier, has three alternative carbon ceramic…

A: Preferred Creditors - According to the relevant insolvency legislation, a lender with the authority…

Q: What are the tax implications of the different methods through which property is disposed? USA

A: Taxation - Taxation is the imposition of a tax on individuals and various types of organizations,…

Q: As of January 1 of the current year, Phyllis Company had accounts receivable of $50,000. The sales…

A: A cash budget is an estimation of income and expenditures on the basis of past performance or…

Q: Ayala Corporation accumulates the following data relative to jobs started and finished during the…

A:

Q: $800,000. If he received $200,000 in cash and 100 shares of stock, the resulting bases are: O Elon's…

A: Whenever a Business Entity sold goods or provide services, it receive something in consideration.…

Q: A

A:

Q: Bruce Co. has 4500 units in inventory. It made the product last year at a cost of $54 each. This…

A: Financial impact refers to the decrease or increases in the value of assets or liabilities…

Q: The X-cell Inc. company has the following purchases and sales during the year ended December 31,…

A: Given that, Beginning inventory = 400 units at $60/unit Selling price per unit = $95  Total units…

Q: Chocolaterie de Geneve, SA, is located in a French-speaking canton in Switzerland. The company makes…

A: Work in process refers to account which records the cost of products which have been requisitioned…

Q: In 2021, Avi, a single taxpayer, had taxable income of $110,000. This amount included short-term…

A: Answer : Option  $14,000 is correct answer. Capital losses =  We can not set off Capital losses with…

Q: What are the factors that determine whether the company should use cash acquisition or stock…

A: Cash Acquisition refers to the acquisition or proposal by one company to another company to buy…

Q: fore reconciling its bank statement, Rollin Corporation's general ledger had a month-end balance in…

A: Bank Reconciliation The purpose of preparing the bank Reconciliation statement is to rectify the…

Q: In manufacturing a product, if the per-unit cost of direct materials is decreased, what effect will…

A: The sales volume at which a company makes exactly no money is known as the breakeven point. In order…

Q: The van dusens have a combined net annual income of $65,000. They have savings of $37,000. Non…

A: There is need of savings after doing all expenses because you have to save for the future for…

Q: Adams Manufacturing allocates overhead to production on the basis of direct labor costs. At the…

A: Predetermined overhead rate is based on the estimated overhead charges incurred and is determined on…

Q: ased on a sales forecast of 80,000 T-shirts: Sales Cost of Goods Sold Gross Profit Operating…

A: Answer : In a flexible budget for sales of 60,000 T shirts, how much would Baskin budget for…

Q: 11. Onslow Company purchased a used machine for $240,000 cash on January 2. On January 3, Onslow…

A: >Accounting principle states that the cost of the long term assets (like equipment) is to be…

Q: Date The Horstmeyer Corporation commenced operations early in 2021. A number of expenditures were…

A: Journal Entry :- A journal entry is the act of recording any transaction, whether one that is…

Q: Liman Corporation has a single product whose selling price is $140 and whose variable expense is $60…

A: The target profit refers to the expected amount of profit that the entity wants to achieve. The…

Q: Answer only b and c

A: Depreciation - Depreciation is the term used to describe the gradual decline in asset value caused…

Q: Paving taxes on stocks

A: Assuming tax period 2022                           As per the rules…

Q: QUESTION 7 Quiet Corp. currently makes 2000 subcomponents a year in one of its factories. The unit…

A: Introduction: When an organization makes any component which is a part of the finished goods, then…

Q: Vitex, Incorporated manufactures a popular consumer product and it has provided the following data…

A: Disclaimer: “Since you have posted a question with multiple sub-parts, we will solve first three…

Q: ou have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door…

A: Cost Formula Actual Cost in March Utilities $16,800 + $0.16 per machine-hour $ 21,800…

Q: What is the budgeted overhead rate for the assembly department? OA $0.80 per direct labor-hour OB…

A: Direct Costs are directly attributable to the specific product or department but indirect costs are…

Q: Electric Car Company listed the following data for the current year: Budgeted factory overhead…

A: Overhead is applied on predetermined overhead rate here based on direct labor hours. Then apply…

Q: PLEASE ANSWER ALL WITH SOLUTIONS TY

A: Standard costing includes the computation of variances in the budgeted plans and the actual reports…

Q: At the beginning of the year, Cazenovia, Inc. entered into a five-year lease for equipment that was…

A: Lease refers to the contractual agreement among the lessor and lessee where the lessee agrees to pay…

Q: The following data relate to the operations of Shilow Company, a wholesale distributor of consumer…

A: Note: Hi! Thank you for the question, As per the honor code, we are allowed to answer three…

Q: he following accounts are shown on the statement of financial position of Phoenix Corporation…

A: Treasury stocks are, generally, those stocks that are bought back from their own shareholders. It…

Q: RGW Industries purchased the net assets of SP Company for P1,300,000. A schedule of the net assets…

A: In the case of the acquisition of companies, the value of the cost of control (goodwill or capital…

Q: The home office sells merchandise to its branch at 120% of cost. The branch was established several…

A: Lets understand the basics. When home office shipped goods to branch office which exceeds its cost…

Q: Victory Company uses weighted average process costing. The company has two production processes.…

A: Direct material means the cost which is incurred on the purchase of the direct material that are to…

Q: Sport Box sells a wide variety of sporting equipment. The following is information on the purchases…

A: Answer :FIFO (First in first out) = In this method it is assumes that the oldest products have been…

Q: Trey Monson starts a merchandising business on December 1 and enters into the following three…

A: Cost can be assigned to inventory based on different methods like FIFO,LIFO,weighted average method…

Leasing

Leasing is a contractual arrangement in which someone (a lessee) pays the owner (or lessor) of a building, land, vehicle, or other asset for the use of that asset. The lease is the agreement between lessee and lessor.