Answer:
a. $848,000
b. No
Explanation:
a. The calculation of consolidated equipment balance as of December 31, 2018 is shown below:-
Consolidated equipment balance = Equipment balance of Haynes + Equipment balance of Turner + Allocation based on fair value - Depreciation
= $500,000 + $300,000 + $5,000 - (($5,000 ÷ 5 × 2)
= $500,000 + $300,000 + $5,000 - $2,000
= $848,000
2. No it will not affect by the investment method applied by the parent.
Its good cause no fighting is good
Answer and explanation:
Carrying Cost of Inventory is the cost a business pays for holding goods in stock. It is calculated by dividing the total inventory value by the total cost of storing goods and it is usually expressed as a percentage. The carrying cost of inventory includes taxes, employee costs, depreciation, insurance, opportunity costs, and the costs of capital that help to create income for a business. The four steps involved in determining the cost of inventory transferred from one department to another are:
- <em>Determine the units to be assigned costs. </em>
- <em>Calculate equivalent units of production.
</em>
- <em>Allocate costs to transferred and partially completed units.
</em>
- <em>Determine the cost per equivalent unit.</em>
Answer:
Option (C) is correct.
Explanation:
Nominal GDP:
= (No. of burgers sold × Selling price of each) + (No. of fries sold × Selling price of each)
= (4000 × 3) + (6000 × 1.5)
= 12,000 + 9,000
= $21,000
Real GDP (in 2008 prices)
= (No. of burgers sold × Selling price of each) + (No. of fries sold × Selling price of each)
= (4,000 × $2.50) + (6000 × $2)
= 10,000 + 12,000
= $22,000
GDP deflator:
= (Nominal GDP ÷ Real GDP) × 100
= (21000 ÷ 22000) × 100
= 95.45
