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hichkok12 [17]
2 years ago
8

In Year 2, the Denim Company bought an acre of land that cost $15,600. In Year 5, another company purchased a nearby acre of lan

d for $28,600 and a different company purchased another nearby acre of land for $26,600. As a result, an appraiser estimated that the acre owned by Denim had increased in value to $27,600. If Denim prepares a balance sheet at the end of Year 5, the acre of land that it owns should be reported at:
Business
1 answer:
Hatshy [7]2 years ago
3 0

Answer:

The acre of land that it owns should be reported at $15,600

Explanation:

At the time of recording of the fixed assets, the fixed assets should be recorded at purchase cost or historical price

Since in the question, the land was purchased at $15,600 and various other land is also purchased in year 5. Moreover, the value of the land would also be increased to $27,600

But at the time of recording, the balance sheet would show at the purchase price i.e $15,600

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An automated assembly robot that cost $400,000 has a depreciable life of 5 years with a $100,000 salvage value. The MACRS deprec
OLga [1]

Answer:

book value at the end of year 3 = $115,200

Explanation:

\left[\begin{array}{ccccc}$Year&$Beginning&$Dep-Expense&$Acc. \: Dep&$Ending\\0&-&-&-&400,000\\1&400,000&80,000&80,000&320,000\\2&320,000&128,000&208,000&192,000\\3&192,000&76,800&284,800&115,200\\\end{array}\right]

Year 1 Depreciation expense

400,000 x 20% = 80,000

Year 2 Depreciation expense

400,000 x 32% =128,000

Year 3 Depreciation expense

400,000 x 19.2% = 76,800

Book value = carrying value - depreciation for the year

or

purchase - accumulated depreciation

3 0
3 years ago
According to Sheryl Connelly, Ford's global consumer trends manager, millennial buyers want lifestyle accessories on their vehic
Klio2033 [76]

Lifestyle can be defined through various perspectives, depending on the type of approach used to answer the question. The term itself was first conceptualized by the psychologist Alfred Adler, which defines it as “a person’s basic character as established as early in childhood”.

Marketing, however, prefers to define lifestyle as (A) an individual's pattern of living expressed through activities, interests, and opinions.

6 0
3 years ago
Baa-rated bonds currently yield 6%, while Aa-rated bonds yield 4%. Suppose that due to an increase in the expected inflation rat
ollegr [7]

Answer: The new confidence index is 0.7143

Explanation: Consumer confidence index which is known as the confidence index is an index used for estimating the economy of the U.S, it is published by the conference board which shows the decree of excitement in peoples's activities on their savings and spendings.

To calculate the new confidence index;

STEP1: Add the bond increase to the current bond;

6% + 1% = 7%

4% + 1% = 5%

STEP 2: FIND THE NEW CONFIDENCE INDEX

5% ÷ 7% = 0.7143

The old confidence index can also be calculated as

4% ÷ 6% = 0.6667

8 0
3 years ago
intelligent industries recently purchased a $50,000, 10% 12-month bond. from intelligent’s point of view, this bond would be con
Paul [167]

from Intelligent’s point of view, this bond would be considered a current asset, because it represents a resource that can easily be converted to cash within one year.

A bond is a debt instrument. A bondholder is entitled to regular predetermined interest rate payments and at the end of the bond's tenure, the bondholder would receive the amount invested.

Current assets are assets that are expected to be sold, used, or exhausted through standard business operations with one year.

Examples of current asset are:

  • cash
  • cash equivalents
  • accounts receivable
  • stock inventory
  • marketable securities
  • pre-paid liabilities

To learn more, please check: brainly.com/question/14287268

5 0
2 years ago
Costco has started its operations in China through an e-commerce partnership with Alibaba. Which method of expanding internation
s344n2d4d5 [400]

Answer:

C. Importing, exporting and countertrading

Explanation:

The e commerce partnership with Ali baba will enable them (Costco) buy (import) and sell (export) goods using the internet, and also transfer money and data to execute these transactions.

Importation involves buying of goods or services from other countries.

Exportation means selling of goods and services to other countries.

Countetrading means the exchange of goods and services which are paid in part or whole with other goods and services.

3 0
3 years ago
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