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1 year ago

A change from straight-line depreciation to double-declining-balance depreciation would be reported as?

1 answer:

5 0

A change from straight-line depreciation to double-declining-balance depreciation would be reported as a restatement of the prior period statements only.

The term depreciation refers to an accounting method used to allocate the cost of a tangible or physical asset over its useful life. Depreciation is thus the decrease in the value of assets and the method used to reallocate, or "write down" the cost of a tangible asset.

An example of Depreciation – If a delivery truck is purchased by a company with a cost of Rs. 100,000 and the expected usage of the truck are 5 years, the business might depreciate the asset under depreciation expense as Rs. 20,000 every year for a period of 5 years.

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Sonor Systems undertakes its own machine maintenance. The depreciation on the equipment is $20,000 per year and operating cost i

Pachacha [2.7K]

Answer:

$570,000

Explanation:

Total machine maintenance cost calculation.

Depreciation expenses $20,000

Operating cost

($275,000 MH × $2). $550,000

Total machine machine maintenance cost $570,000

Therefore, the total machine maintenance cost of the machine is $570,000

7 0

3 years ago

f a taxpayer sells property for cash, the amount realized consists of the net proceeds from the sale. For each of the following,

Gala2k [10]

Answer:

a. The property is sold on credit.

The amount realized is the cash received at the date of sale and the cash that will be received in future when the credit is settled.

b. A mortgage on the property is assumed by the buyer.

The amount realized increases because the seller will see their debt reduced and still receive cash from the buyer for the purchase of the property.

c. A mortgage on the property is assumed by the seller.

The amount realized decreases because the realized amount will have to be net of the mortgage that the seller now has to pay.

d. The buyer acquires the property subject to a mortgage of the seller.

Amount realized increases as the buyer will become the one making mortgage payments instead of the seller which effectively means that the seller gets the realized value net of debt.

e. Stock that has a basis to the purchaser of $6,000 and a fair market value of $10,000 is received by the seller as part of the consideration.

Realized value increases to $10,000 because that is the fair value of the stock when exchange for the property.

5 0

3 years ago

Tài liệu về NVL X tại 1 DN tính và nộp thuế GTGT theo phương pháp khấu trừ tháng 03/N

hram777 [196]

Answer::!;!,!’cldldkfnbbfndkdfkf

Explanation:

Fbxnbdndndnxnxfnnfncdk

8 0

3 years ago

A likely analytical procedure to test the accuracy of purchase discounts would be to compute the ratio of cash discounts earned

NikAS [45]

A likely analytical procedure to test the accuracy of purchase discounts would be to compute the ratio of cash discounts earned to : Purchase

<h3>What is Purchase Discount?</h3>

Purchase discount is deducted to the total purchases when computing for the net purchases. This account has a normal balance of credit and decreases the total amount of cost of goods sold.

<h3>What is Analytical procedures ?</h3>

Analytical procedures refer to study of significant ratios and past trends and investigating unusual fluctuations.

Under analytical review procedures, an auditor compares financial information of the current period with those of the previous periods, applying techniques of ratio analysis and investigating the causes of unusual fluctuations and deviations.

Therefore, we can conclude that the correct option is C.

Your question is incomplete, but most probably your full question was:

A likely analytical procedure to test the accuracy of purchase discounts would be to compute the ratio of cash discounts earned to:

a. accounts payable

b. notes payable

c. purchases

d. sales discounts

Learn more about Analytical procedures on:

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8 0

2 years ago

Under its executive stock option plan, National Corporation granted 12 million options on January 1, 2021, that permit executive

vfiekz [6]

Answer:

Check the explanation

Explanation:

Computing the amount of Compensation expenses (which sometimes can comprise of the salaries, payroll taxes, recruiting costs, benefits and bonuses. it is generally an important or integral part of a company's day to day costs) for 2022 and 2023 are as follows

Compensation expense for 2021 = 12000000*$2*1/3 = $8000000

Compensation expense for 2022 = 12000000*95%*$2%*2/3 - 8000000 = $7200000

Compensation expense for 2023 = 12000000*95%*$2*3/3 - (8000000+7200000)

= $7600000

8 0

3 years ago