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Semenov [28]
3 years ago
13

Under U.S. GAAP, if the carrying value of a fixed asset was $50,000, the undiscounted expected future cash flows was $55,000, th

e discounted expected future cash flows was $51,000, and the selling price was $53,000, what is the amount of impairment loss?
Business
2 answers:
ira [324]3 years ago
7 0

Answer:

$0

Explanation:

According to US GAAP the reduction in the value of the asset due to a decrease in the fair value. It means when fair value of the asset is reduced than the book value of the asset.

Amortized Cost / Book value = $50,000

Market Value = $53,000

Discounted Value = $51,000

There is no Impairment loss on this asset as the fair market value is more than the book value of the asset.

FrozenT [24]3 years ago
3 0

Answer:

Nil, asset is not impaired.

Explanation:

An asset is said to be impaired if and only if the carrying amount of the asset is more than the recoverable amount.

The recoverable amount is the higher of the value in use (which is the discounted expected future cash flows) and the fair value less cost to sell.

Recoverable amount = $53,000 (being the higher of the selling price and the discounted expected future cash flow)

Since this is higher than the carrying value of the asset, it is not impaired.

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A retired woman has $180,000 to invest. she has chosen one relatively safe investment fund that has an annual yield of 9% and an
Zepler [3.9K]
Solution:  
Let the amount invested in scheme which yields 9% be x and amount invested in scheme which yields 13% be y.  
x + y = 180000 --equation 1 
0.09x + 0.13y = 18000 --equation 2  
Balancing the equations, multiply equation 1 with 0.09 and equation 2 with 1,  
0.09x + 0.09y = 16200 -equation 3
 0.09x + 0.13y = 18000 --equation4  
Subtracting equation 4 from 3, 
 -0.04y = -1800  
y = 45000 
 Now putting value of y in equation 1, 
 x + 45000 = 180000 
 x = 135000 
 The amount to be invested in scheme which yields 9% = $135,000
 The amount to be invested in scheme which yields 13% = $45,000
6 0
3 years ago
On January 30, 2014, your parents lent you $400. On January 30, 2015, you repaid the loan by writing your parents a check for $4
grandymaker [24]

Answer:

The annual interest rate charged would be 8%

Explanation:

The annual interest rate which is charged by the parents for the loan is computed as:

Interest rate = (Amount repaid for loan - Lent amount by parents) /Lent amount by parents × 100

where

Lent amount by parents is $400

Amount repaid for loan is $432

Putting the values above:

Interest rate = ($432 - $400) / $400 × 100

Interest rate = $32/ $400 × 100

Interest rate = 0.08 × 100

Interest rate = 8%

4 0
3 years ago
Because Mike is only accountable for the $20,000 he invested in his friend Matt's company, the
Arlecino [84]
The answer is limited liability partnership
7 0
3 years ago
Gloria deposited $500 into a bank account that earned 7. 5% simple interest each year. She earned $225 in interest before closin
timama [110]

The number of years in which the money is in the account is 6 years.

<h3>What is simple interest?</h3>

Simple interest denotes the amount of payment that is received or paid by a person in return for anything pledged or given a loan.

The interest computed on the principal amount for a specified duration of time and rate of interest is called simple interest.

The formula of simple interest:

\text{SI}= \text{P}\times r \times t

Where, (P) stands for principal, (r) for interest rate, and (t) is for the time period.

<u>Computation </u><u>of a number of years:</u>

According to the given information,

P=$500,

r=7.5%,

t=?

SI= $225

Now, substitute the given values in the above formula, we have:

\text{SI}= \text{P}\times r \times t\\\\\$225=\$500\times\ 7.5\%\times t\\\\t= 6 \text{Years}

Therefore, the number of years is 6 years.

To learn more about the simple interest, refer to:

brainly.com/question/2793278

5 0
2 years ago
The following information is taken from Reagan Company's December 31 balance sheet: Cash and cash equivalents $ 9,619 Accounts r
abruzzese [7]

Answer:

46.07 days

Explanation:

Calculation for the firm's days' sales uncollected for the year

Using this formula

Days' Sales Uncollected Ratio = Ending Accounts Receivable/Net Sales * 365

Let plug in the formula

Days' Sales Uncollected Ratio = ($76,422/$605,500) * 365

Days' Sales Uncollected Ratio = 46.067 days

Days' Sales Uncollected Ratio = 46.07 days Approximately

Therefore the firm's days' sales uncollected for the year is: 46.07 days

5 0
3 years ago
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