the initial total acquisition cost of the Property, Plant, and Equipment
Q: The following data relate to the acquisition of an equipment owned by BUSS Corporation. Acquisition…
A: Depreciation under Straight line method cost - residual value / usefeel life of Asset $125000 -…
Q: XYZ company had acquired a company in the beginning of year 2019. Such acquisitions resulted in…
A: An intangible asset is an asset that is not physical in nature. Goodwill, brand, trade mark,…
Q: During 2020, the Tidel Company completed the following transactions related to its property, plant,…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: On January 1, 2020, Blair Corporation purchased for $500,000 a tract of land (site number 101) with…
A: Given information is: On January 1, 2020, Blair Corporation purchased for $500,000 a tract of land…
Q: On January 1, 2020, HOWLSCo. acquired an investment property at a total cost of P25,000,000. At…
A: As per PAS 40" Investment Property" Initial cost of property measured at Cost including transaction…
Q: On January 1, 2022, Annie Company purchased a mineral mine for P26,400,000 with removable ore…
A: Lets understand the basics. As per IFRS 6 "Exploration for and evaluation of mineral resources",…
Q: by BEE last October of 2015 for $1,750,000, and the building was constructed on February of 2016 for…
A: The right answer is option A. Land - $2,200,000; Building - $3,300,000
Q: Them Company has a single investment property, which had original cost of P5,800,000 and estimated…
A: In case of Fair value model, assets is measured at fair value and any change in fair value during…
Q: Extreme UV Inc. has accumulated development costs that meet the criteria for capitalization at…
A: The question is related to Accounting for Intangible Assets. Development Expenses related to…
Q: building and equipment had remaining useful lives of 25 years and 4 years, respectively, as of that…
A: Since entity follow revaluation model. so any surplus in the revaluation should be transferred to…
Q: On July 1, 2019, the Kyo Co. acquired 100% of Tohru Co. for a consideration transferred of Php160M.…
A: 1. If the initial accounting for a business combination can be determined only provisionally by the…
Q: According to the footnotes, what is the total acquisition cost of Land that Newell Brands owns as of…
A: Financial statement means the statement including income statement , balance sheet , cash flow…
Q: On January 1, 2019, GUTZY Corporation purchased a tract of land (site number 101) with a dilapidated…
A: Fixed assets Fixed assets are also known as long-term assets and non-current assets. These are those…
Q: At the year ended 31 December, 2020, information regarding property, plant and equipment of Camelia…
A: 1. Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of…
Q: We Company has a single investment property, which had original cost of P5,800,000 and estimated…
A: Answer:- Carrying value meaning:- The carrying value of a company's assets is a measure of its…
Q: Extreme UV Inc. has accumulated development costs that meet the criteria for capitalization at…
A: Under revaluation of intangible assets difference shall be shown in other comprehensive income.…
Q: What is the capitalized cost of the acquired PPE if ABC Corp. made the following property…
A: At the time of acquiring fixed assets, purchase price paid along with all other costs which are…
Q: On January 1, 2020, the historical balances of the land and building of Twang Company are:…
A: Appraised value of building (Fair value) = P350,000,000 Salvage Value…
Q: How much should Dolly Company report goodwill as of December 31, 2022?
A: Goodwill is the amount of money which has been paid by the acquiring company in excess of the net…
Q: The draft balance sheet of Tere Corporation as of December 31, 2019 reported the net property, plant…
A: The valuations will be shown as follows
Q: Mickelson Inc. owns land that it purchased on January 1, 2000, for $450,000. At December 31, 2020,…
A: An asset is a resource owned by an entity that has a future benefit attached to it.
Q: On January 1, 2018, an entity purchased a machine for P7,200,000 and depreciated it by the…
A: COST OF PURCHASE OF MACHINE = P7200000 USEFUL LIFE OF ASSET = 8 YEARS METHOD OF DEPRECIATION USED =…
Q: On Sept 30, 2020, ABC acquired a building to earn rent through operating leases. The investment…
A: Depreciation is the loss in the value of the asset caused due to its usage, wear and tear. There are…
Q: ion reserve of 8640000 euros. At December 31, 2020, the property, plant and equipment was appraised…
A: The property Plant and equipment will be reported on the December 31,2020 statements of financial…
Q: ABC Ltd has the following land and buildings in its financial statements as at 30 June 2022:…
A: under cost model,downward revaluation is allowed under revaluation model, upward and downward both…
Q: As at 31 December 2020, Aura Plc has a development asset on its Statement of Financial Position of…
A: It is pertinent to note that as per IAS 38 ( Intangible asset ) costs that are incurred in order to…
Q: SYD method, how much is the depreciation expense
A: Estimated useful life = 5 years Sum of years' digits = 5 + 4 + 3 + 2 + 1 = 15
Q: In late September 2020, Federation Construction Services Pty Ltd (FCS) acquires the following items…
A: An Acquisition is a situation where one company purchases or acquires all or most of the stake of…
Q: September 1, 2020, Winans Corporation acquired Aumont Enterprises for a cash payment of $700,000. At…
A:
Q: GALING Co. acquired a building on March 1, 2021. The costs related to the acquisition are as…
A: Cost of the building = Purchase price + Options + Repairs - Options incurred on a building which is…
Q: On January 1, 2019, Chiz Company acquired equipment to be used in its manufacturing operations. The…
A: Depreciation is considered as an expense charge on the value of the Asset. It can be calculated by…
Q: The goodwill of DD was due to the acquisition of P on December 1, 2022. The carrying amount and fair…
A: Goodwill refers to the value of reputation of an entity.
Q: The following data relate to the acquisition of an equipment owned by ACE Corporation. Acquisition…
A: Because an asset is likely to experience wear and tear over time, depreciation must be provided.…
Q: Marigold Company uses IFRS and owns property, plant and equipment with a historical cost of 5170000…
A: According to historical concept, the asset is valued at the cost price on which it was purchased.
Q: The following information relates to Absolute Company for the year 2020: Determine the accounts and…
A: Investment property is initially measured at cost, including transaction costs. Such cost should not…
Q: On January 1, 2019, Ciara Corporation acquired an equipment to be used in its manufacturing…
A: Given information, Useful life =10 years Residual value =P50,000 Depreciation for the year 2021…
Q: What amount should be reported as impairment loss on December 31, 2019? What is the carrying amount…
A: Given information is: On December 31, 2019, an entity has a machinery with the following cost and…
Q: 1. Using the cost model, what is the depreciation expense for the year 2020? Note that asset was…
A: a and b Computation of Depreciation expense for the year 2020 Particulars Amount Initial…
Q: On Sept 30, 2020, ABC acquired a building to earn rent through operating leases. The investment…
A: Investment Property is a property which is held by the owner or lessee for the purpose Earning…
Q: On March 10, 2020, Night Corporation purchased $2,400,000 of machinery and equipment (7-year…
A: Given that, Night corporation purchased on March 10, 2020 7-year Machine and Equipment = $2400000…
Q: On January 1, 2020, Hilary Company purchased a mineral mine for P26,400,000 with removable ore…
A: Depreciation , amortization , depletion all means the fall in value of assets due to one reason or…
Q: Lure Corporation is using the cost model for noncurrent assets. On October 1, 2020, the entity…
A: If non-current assets are classified as held for sale, then on such change in classification,…
Q: Booster Co purchased a building on 1 January 2010 for P1,250,000. At acquisition, the useful life of…
A: Annual depreciation= (cost of the assets - residual value) / life of the assets = (P1,250,000-0) /…
Q: On September 1, 2020, Flint Corporation acquired Tamarisk Enterprises for a cash payment of…
A: Goodwill is an intangible asset of the company which arises when the payment made for acquiring the…
Q: At the beginning of 2019, Robotics Inc. acquired a manufacturing facility for $12 million. $9…
A:
Q: On January 01, 2020, Sisig Corp. acquired an investment property, and the initial cost of the…
A: The investment property refers to the investment that is either used for capital appreciation or for…
Q: In January 2020, Fritz Mining Corporation purchased a mineral mine for $6,300,000 with removable ore…
A: Calculate the depletion cost per unit as follows: Depletion cost per unit = (Purchase cost - Ore…
Q: As at 31 December 2020, Lambda Ltd’s property in its statement of financial position was: Property…
A:
Q: At the beginning of the year 2019. Itlog Company has an investment property acquired at a cost of $…
A: At beginning of the year 2019, Itlog company acquired property at cost = $2000000 Useful life = 25…
According to the footnotes, what was the initial total acquisition cost of the Property, Plant, and Equipment that Newell Brands owns as of December 31, 2020?
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Partially Completed Spreadsheet Hanks Company has prepared the following changes in account balances for the spreadsheet to support its 2019 statement of cash flows: Additional information: The net income was 1,300. Depreciation expense was 350, and patent amortization expense was 100. At the end of 2019, long-term investments were purchased at a cost of 1,550. Land that cost 700 was sold for 900. On December 31, 2019, bonds payable with a face value of 2,000 were issued for equipment valued at 2,300. Two hundred shares of common stock were issued at 7 per share. Forty shares of common stock were issued as a small stock dividend, the relevant market price being 5 per share. Cash dividends declared and paid totaled 600. Required: On the basis of the preceding information, complete the spreadsheet.UTV Corp. have the following account balances for the year ended December 31, 2020:DEBIT BALANCESAmountCash and cash equivalents400,000Accounts receivable900,000Raw materials560,000Goods in process600,000Finished goods1,400,000Financial assets at FVOCI2,500,000Sinking fund200,000Land1,000,000Building6,000,000Plant and equipment2,400,000Patent800,000Goodwill1,400,000Unrealized loss – FVOCI100,000Prepaid benefit cost20,000Treasury shares at cost250,000TOTAL18,530,000 CREDIT BALANCESAmountBank overdraft100,000Due from an officer50,000Allowance for bad debts40,000Accumulated depreciation – building1,600,000Accumulated depreciation – plant and equipment400,000Notes payable, due June 30, 20211,300,000Notes payable, due June 30, 20222,100,000Accounts payable1,000,000Provision180,000Warranty liabilities80,000Income tax payable120,000Finance lease liability180,000Deferred tax liability280,000Actuarial gain300,000Revaluation surplus360,000Share capital6,000,000Share premium2,000,000Retained…Problem BPeter Senen Corporation provided the following account balances as of September 30, 2020: CashP112,000 Accumulated depreciationP 36,000Accounts Receivable64,000Accounts payable 40,000Finished Goods48,000Income tax payable9,000Work in process 36,000 Share Capital500,000Raw materials 52,000 Retained Earnings207,000Property and Equipment480,000The following transactions occurred during October:1. Materials purchased on account, P150,0002. Materials issued to production: direct materials- P90,000, Indirect materials- P10,000.3. Payroll for the month of October 2020 consisted of the following (also paid during the month):Direct labor P62,000Administrative salariesP16,000Indirect Labor 20,000Sales salaries 30,000Payroll deductions were as follows:Withholding taxes P19,800Phil health contributions P2,000SSS contributions 7,100HDMF contributions 2,0004. Employer contributions for the month were accrued:FactorySellingAdministrativeSSS contributionsP5,700P2,000P1,100Philhealth…
- Please calculate the verticle and horizontal analysis of the balance sheet. Consolidated Balance Sheets (USD $) 12/31/2020 Vertical Analysis 12/31/2019 Vertical Analysis Horizontal Analysis In Millions, unless otherwise specified Current Assets: Cash and Cash Equivalents $1,723 $1,929 Receivables, net 1,484 1,398 Merchandise Inventories 11,079 11,057 Other Current Assets 1,016 895 Total Current Assets 15,302 15,279 Property and Equipment, at cost 38,513 39,064 Less Accumulated Depreciation and Amortization 15,793 15,716 Net Property and Equipment 22,720 23,348 Goodwill 1,353 1,289 Other Assets 571 602 Total Assets 39,946 40,518 Current Liabilities: Short-Term Debt 290 0 Accounts Payable 5,807 5,797 Accrued Salaries and Related Expenses 1,391 1,428 Sales Taxes Payable 434 396 Deferred Revenue 1,468…Prior Company’s condensed financial statements provide the following information. Prior CompanyBalance Sheet Dec. 31, 2020 000 Dec. 31, 2019 Cash $1,052,000) $1,060,000) Accounts receivable (net) 198,000) 80,000) Short-term investments 80,000) 40,000) Inventory 440,000) 360,000) Prepaid expenses #1,603,000) #1,607,000) Total current assets $0,773,000) $0,547,000) Property, plant, and equipment (net) $1,857,000) $1,853,000) Total assets $1,630,000) $1,400,000) Current liabilities 240,000) 160,000) Bonds payable 400,000) 400,000) Common stockholders’ equity $1,990,000) $1,840,000) Total liabilities and stockholders’ equity $1,630,000) $1,400,000) 00 Income StatementFor the Year Ended 2020 Sales revenue $1,640,000) Cost of goods sold $ (800,000) Gross profit 840,000) Selling and administrative expenses (440,000) Interest expense 00.(40,000) Net income $ 360,000)…Suppose the following financial data were reported by 3M Company for 2019 and 2020 (dollars in millions). 3M CompanyBalance Sheets (partial) 2020 2019Current assets Cash and cash equivalents $3,200 $1,845Accounts receivable, net 3,450 3,180Inventories 2,639 3,042Other current assets 1,872 1,549Total current assets $11,161 $9,616Current liabilities $4,853 $5,893 (a)Calculate the current ratio and working capital for 3M for 2019 and 2020. (Round current ratio to 2 decimal places, e.g. 1.25 : 1. Enter working capital answers to million.) Current ratio 2019 :12020 :1 Working capital 2019 $ million2020 $ million (b)The parts of this question must be completed in order. This part will be available when you complete the part above.
- ShafNita Sdn. Bhd. Statement of Financial Position as at 31 December2019 2020RM RM RM RM Non Current AssetsBuilding 100,000 100,000Fixtures less accumulated depreciation 3,600 4,000Van less accumulated depreciation 7,840 14,800111,440 118,800 Current AssetInventory 11,200 24,800Trade account receivable 12,800 16,400Bank 1,800 -Cash 440 400 26,240 41,600Total assets 137,680 160,400Finance by:Capital account:Balance at 1 January 74,080 105,080Add: Net profit for the year 70,400 42,320Cash introduced - 20,000144,480 167,400Less: Drawings (39,400) (43,200)105,080 124,200 Non Current LiabilitiesLoan (repayable in 10 years time) 20,000 30,000Current LiablitiesAccount Payable 12,600 6,012Bank overdraft - 188Retained earnings 32,600 36,200Total liabilities and equity 137,680 160,400 Additional information at 31 December 2020: Fixtures bought in 2020 cost RM800. Van bought in 2020 cost RM11,000. Required: Prepare statement of cash flow for ShafNita Sdn. Bhd. for the year ended 31 December…6 The condensed financial statements of Underwood Company for the years 2019 and 2020 are presented as follows. (Amounts in thousands.) UNDERWOOD COMPANYBalance SheetsDecember 31 2020 2019 Current assets Cash and cash equivalents $330 $360 Accounts receivable (net) 470 400 Inventory 460 390 Prepaid expenses 120 160 Total current assets 1,380 1,310 Investments 10 10 Property, plant, and equipment 420 380 Intangibles and other assets 530 510 Total assets $2,340 $2,210 Current liabilities $900 $790 Long-term liabilities 410 380 Stockholders’ equity—common 1,030 1,040 Total liabilities and stockholders’ equity $2,340 $2,210 UNDERWOOD COMPANYIncome StatementsFor the Years Ended December 31 2020 2019 Sales revenue $3,800 $3,460 Costs and expenses Cost of goods sold 955 890 Selling & administrative expenses…Suppose the following financial data were reported by 3M Company for 2019 and 2020 (dollars in millions). 3M CompanyBalance Sheets (partial) 2020 2019Current assets Cash and cash equivalents $3,180 $1,836Accounts receivable, net 3,600 3,180Inventories 2,738 3,019Other current assets 1,932 1,590Total current assets $11,450 $9,625Current liabilities $4,830 $5,887 Calculate the current ratio and working capital for 3M for 2019 and 2020. (Round current ratio to 2 decimal places, e.g. 1.25 : 1. Enter working capital answers to million.) Current ratio 2019 :12020 :1 Working capital 2019 $ million2020 $ million Link to Text
- Maple Group LtdComparative Balance SheetDecember 31, 2020 and 20192020 2019 Increase/(Decrease)Assets Cash and cash equivalent ? 31,500 (10,000)Accounts Receivable ? 87,500 ? Inventories 97,100 ? ? Fixed Assets, net 142,300 ? 32,000 Total Assets 302,900 323,000 (20,100)Liabilities Accounts payable 25,600 26,600 ? Accrued liabilities 24,000 ? 1,200 Long-term notes payable 58,200 ? (20,000)Stockholders' Equity: Common Stock ? 131,400 ? Retained earnings 54,800 64,000 (9,200)Total liabilities and stockholders' equity 302,900 323,000 (20,100)- - - Maple Group Ltd Income Statement Year Ended December 31,2020 Revenues and gains: Sales revenue 370,000 Interest revenue 11,800 Total revenues and gains 381,800 Expenses Cost of goods sold 205,500 Depreciation expense 15,500 Other operating expense 126,000 Interest expense 24,300 Total expenses 371,300 Income before income taxes 10,500 Income tax expense 16,300 Net Loss (5,800) Notes Acquisition of fixed asset during 2020 47,500 Sale proceed…A comparative balance sheet for Gena Company appears below:GENA COMPANYComparative Balance SheetDec. 31, 2021 Dec. 31, 2020AssetsCash $ 34,000 $11,000Accounts receivable 21,000 13,000Inventory 35,000 17,000Prepaid expenses 6,000 9,000Long-term investments -0- 17,000Equipment 60,000 33,000Accumulated depreciation—equipment (20,000) (15,000)Total assets $136,000 $85,000Liabilities and Stockholders' EquityAccounts payable $ 17,000 $ 7,000Bonds payable 36,000 45,000Common stock 53,000 23,000Retained earnings 30,000 10,000Total liabilities and stockholders' equity $136,000 $85,000Additional information:1. Net income for the year ending December 31, 2021 was $35,000.2. Cash dividends of $15,000 were declared and paid during the year.3. Long-term investments that had a cost of $17,000 were sold for $14,000.4. Depreciation expense for the year was $5,000.InstructionsPrepare a full statement of cash flows for the year ended December 31, 2021, using the indirectmethod.The condensed financial statements of Carla Vista Co. for the years 2021 and 2022 are presented below. CARLA VISTA CO.Balance SheetsDecember 31 (in thousands)20222021Current assets Cash and cash equivalents$330$360 Accounts receivable (net)590520 Inventory640570 Prepaid expenses130160 Total current assets1,6901,610Property, plant, and equipment (net)410380Investments130130Intangibles and other assets530510 Total assets$2,760$2,630Current liabilities$940$910Long-term liabilities660560Stockholders’ equity—common1,1601,160 Total liabilities and stockholders’ equity$2,760$2,630 CARLA VISTA CO.Income StatementsFor the Year Ended December 31 (in thousands)20222021Sales revenue$3,980$3,640Costs and expenses Cost of goods sold1,0901,010 Selling & administrative expenses2,4002,330 Interest expense1020 Total costs and expenses3,5003,360Income before income taxes480280Income tax expense192112Net income$ 288$ 168 Compute the following ratios for 2022 and 2021.…