8. Oscar is looking forward to retirement and feels lucky since he will receive a percentage of his monthly

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

ira [324]

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.

7 0

3 years ago

Read 2 more answers

The price of a new computer game has demand of 3,000 units at $50 and 2,500 units at $60. Calculate the Price Elasticity of Dema

kondaur [170]

Answer:

option D "The demand is unitary elastic."

Explanation:

Data provided:

At price, P1 = 3,000 units

Demand, D1 = $ 50

also,

at price P2 = $ 60

Demand, D2 = 2,500 units

Now,

the percentage change in price = $\frac{60-50}{50}\times100$

or

the percentage change in price = 20%

and,

The percentage change in the quantity = $\frac{2500-3000}{2500}\times100$

or

The percentage change in the quantity = -20%

The elasticity in demand (Ed) is given as:

Ed = (Percentage change in quantity) / (Percentage change in price)

on substituting the values, we get

Ed = (-20%) / 20%

or

Ed = - 1

Here the negative sign depicts the inverse relation between the price and the demand.

hence, the correct answer is option D "The demand is unitary elastic."

8 0

3 years ago

ULab Inc., a biotechnology firm, lost one of its offices in a fire. The employees did not have a fire drill, and the 10-story bu

Ilya [14]

Answer: (B) Moral minimum

Explanation:

The moral minimum is one of the organizational degree which include the ethical behavior in the business and it basically focuses on the various types of impacts in business firms that helps in the decision process.

According to the given question, the moral minimum is one of important responsibility of the social theory that is neglecting the fire drill and also not installing the fire exist by the Ulab organization for their employees.

Therefore, Option (B) is correct answer.

4 0

3 years ago

(Advanced analysis) The following equations give information for a private open economy.

loris [4]

Answer: Trade Deficit ($10 Billion).

Explanation:

C=40+0.8Y

Ig=$40 billion

X=$20 billion

M=$30 billion

where,

Y - GDP

C - Consumption

Ig - Gross investment

X - Exports

M - Imports

Balance of trade or Trade balance = Exports - Imports

Since, Imports are greater than the exports, so the nation is experiencing a trade deficit.

Trade deficit = Imports - Exports

= $30 - $20

= $10 billion

6 0

4 years ago

Northstar Company uses ABC to account for its chrome wheel manufacturing process.

Gwar [14]

Answer:

Instructions are below.

Explanation:

First, we need to calculate the predetermined overhead rate for each activity:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Materials handling= 12,000/3,000= $4 per part

Machine setup= 3,400/10= $340 per setup

Insertion of parts= 48,000/3,000= $16 per part

Finishing= 80,000/2,000= $40 per finishing direct labor hour

Job 420 used 150 parts, required 2 setups and consumed 100 finishing hours.

Job 510 used 500 parts, required 4 setups and consumed 310 finishing hours.

To allocate costs, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Job 420:

Materials handling= 4*150= $600

Machine setup= 340*2= $680

Insertion of parts= 16*150= $2,400

Finishing= 40*100= $4,000

Total allocated cost= $7,680

Job 510:

Materials handling= 4*500= $2,000

Machine setup= 340*4= $1,360

Insertion of parts= 16*500= $8,000

Finishing= 40*310= $12,400

Total allocated cost= $23,760

6 0

3 years ago