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2 years ago

Depreciation of noncurrent operating assets is an accounting process for the purpose of:________.

1 answer:

5 0

Depreciation of noncurrent operating assets is an accounting process for the purpose of allocating asset costs over the periods benefited by use of the assets.

Depreciation refers to an expense for a business to use non-current asset in order to generate economic benefits. Here the purpose of depreciation is to have balance sheet report the current value of an asset.

An accounting method used to allocate the cost of a tangible or physical asset over its useful life is known as depreciation. Companies usually take depreciation regularly so they can move their asset costs from their balance sheets to their income statements.

Hence, depreciation of noncurrent operating assets are benefited by use of the assets.

To learn more about depreciation here:

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3 years ago

From the list below, which items are classified as a materials activity:

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3 years ago

Assume that Denis Savard Inc. has the following accounts at the end of the current year. 1.Common Stock14.Accumulated Depreciati

boyakko [2]

Answer:

Denis Savard Inc

Classified Balance sheet

Amount$ Amount$ Amount$

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Notes Receivable xxx

Receivables-Officers xxx

Inventory

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Work in Process. xxx

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Total Current Assets xxx

Stockholders Equity

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Par-Common Stock.

Total paid in capital xxx

Add Retained Earnings. xxx

Total paid in capital and retained earnings xxx

Less Treasury Stock (at cost) xxx

Total Stockholders Equity xxx

Total Liability and Stockholders Equity xxx

Liability and Stockholders Equity

Current Liability

Salaries and Wages Payable. xxx

Unearned Subscriptions Revenue. xxx

Unearned Rent Revenue. xxx

Total Current Liability. xxx

Long term liabilities

Bonds Payable (due in 4 years) xxx

Less Discount on Bonds Payable xxx xxx

Total Long term liabilities. . xxx

Long term Investment

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Cash Restricted for Plant Expansion. xxx

Total Long term Investment. xxx

Property, Plants and Equipment

Building. xxx

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- Buildings

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3 years ago

On April 1, Pujols, Inc., exchanges $590,000 fair-value consideration for 70 percent of the outstanding stock of Ramirez Corpora

Svet_ta [14]

Answer:

Closing NCI = $234,300 + $69,000 = $303,300

Explanation:

The Question is to identify the non-controlling interes in Ramirez Corporation

First we determine the Net income of Ramirez

Net Income = Revenues - Expenses

= $635,000 - $405,000 = $230,000

The next step is to dtermine the value of non -controling interest in teh net income of Ramirez.

Non-Controlling Interest in Net Income = NCI percentge x Net Income

= 30% x $230,000 = $69,000

Finally, based on these calculations , we can compute the Closing Balance of Non-Controlling Interest

The formula = Opening Non-Controlling Interest + Non-controlling Interest Share of Net income

Closing NCI = $234,300 + $69,000 = $303,300

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3 years ago

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