Raise;decrease is the answer to this question
Answer:
d. $489,500
Explanation:
The capitalized cost will include all the costs incurred by Holiday laboratories to readily make the asset for use.
Therefore,
Capitalized cost = High speed industrial centrifuge + Shipping cost + Foundation cost + Equipment cost + Labor and testing cost + Material cost
= $440,000 + $30,000 + $8,600 + $3,000 + $5,300 + $2,600
= $489,500
Answer:
December 31
- Dr Equity Investments account (Blue Mission) 34,000
-
Cr Revenue from Investments account 34,000
Explanation:
Since Base owns 34% of Blue, they should record 34% of Blue's net income = $100,000 x 34% = $34,000
December 31
Dr Equity Investments account (Blue Mission) 34,000
Cr Revenue from Investments account 34,000
Equity investments account is an asset account and it increases, therefore it should be debited.
Revenue from investments is a revenue account and all revenue is credited.
