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3 years ago

Presented below is information related to equipment owned by Cullumber Company at December 31, 2017.

Business

1 answer:

Rashid [163]3 years ago

5 0

Answer and Explanation:

Before recording the journal entries first we need to find out the depreciation expense which is shown below:

Cost $4,680,000

Less: Accumulated Deprecation-equipment $468,000

Net Value $4,212,000

Less: Fair value $2,184,000

Loss on Impairment $2,028,000

And,

Fair value $2,184,000

Divide by Life 4 years

So, Depreciation Expenses $546,000

Now the journal entry is

1 Loss on Impairment $2,028,000

To Accumulated Deprecation - equipment $2,028,000

(Being the loss on impairment is recorded)

2 Depreciation Expenses $546,000

To Accumulated Deprecation - equipment $546,000

(Being the depreciation expense is recorded)

3. No journal entry is required

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A company is investing in a solar panel system to reduce its electricity costs. The system requires a cash payment of $125,374.6

tatyana61 [14]

Answer:

NPV is positive,the project should be accepted

Explanation:

In determining whether or not the project should be accepted ,we need to ascertain the Net Present value of the project which is present value of cash inflows of $13,000 for 35 years minus the initial investment of $125,374.60 committed today.

The annuity factor for 8% for 35 year horizon is 11.6546 using annuity table.

Present of cash inflow=cash inflow*annuity factor=$13,000*11.6546=$151,509.80

Net present value=$ 151,509.80-$125,374.60=$ 26,135.20

The investment has a positive NPV,hence should be accepted

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3 years ago

Nanjones Company manufactures a line of products distributed nationally through wholesalers. Presented below are planned manufac

Murrr4er [49]

Answer:

Variable manufacturing overhead spending variance= $2,000 favorable

Explanation:

<u>First, we need to calculate the predetermined overhead rate:</u>

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

Predetermined manufacturing overhead rate= 2,400,000 / 240,000

Predetermined manufacturing overhead rate= $10 per machine hour

<u>To calculate the variable overhead spending variance, we need to use the following formula:</u>

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Variable manufacturing overhead spending variance= (standard rate - actual rate)* actual quantity

Variable manufacturing overhead spending variance= (15 - 214,000/21,600)*21,600

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3 years ago

The probability of getting a 5 when a die is tossed is what type of probability?

makvit [3.9K]

Answer: As the Oxford dictionary states it, Probability means ‘The extent to which something is probable; the likelihood of something happening or being the case’.

In mathematics too, probability indicates the same – the likelihood of the occurrence of an event.

Examples of events can be :

Tossing a coin with the head up

Drawing a red pen from a pack of different coloured pens

Drawing a card from a deck of 52 cards etc.

Either an event will occur for sure, or not occur at all. Or there are possibilities to different degrees the event may occur.

An event that occurs for sure is called a Certain event and its probability is 1.

An event that doesn’t occur at all is called an impossible event and its probability is 0.

This means that all other possibilities of an event occurrence lie between 0 and 1.

Explanation:

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3 years ago

Read 2 more answers

According to liquidity preference theory, a decrease in the price level causes the interest rate to:a. increase, which increases

mojhsa [17]

Answer:

The correct answer is (B)

Explanation:

Liquidity preference theory emphasised on the interest which investors should demand on long-term investments due to the risk they carry. According to liquidity preference theory, a decrease in the price level shifts the money demand curve leftward. A leftward movement of the money demand curve increases the overall quantity demanded. In that regard, a decrease in interest rate increases the demand for goods and services demanded.

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4 years ago

casey deesel is a sports agent negotiating a contract for titus johnston, an athlete in the national football league (nfl). an i

anastassius [24]

Based on the available data for a player of Titus Johnston's profile, his guaranteed amount would be $32.74 million.

<h3>Calculations and Parameters</h3>

Given that Casey Deeselis a sports agent negotiating a contract for Titus Johnston, an athlete in the National Football League

He has generated data on 506 NFL athletes who have recently signed new contracts and who get paid a percentage of his team's plays that the athlete is on the field.

With this, each award they get, each minute they spend on the field, each game missed, and then guaranteed money are all accounted for which is displayed in the attached image below.

If we observe the best-pruned tree given below, based on the arrows and circles,

For Snap percent = 96

Awards = 7

Games missed = 3

The conclusion is that with the profile of Titus Johnston, he would receive a guaranteed amount of $32.74 million.

Read more about regression tree here:

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2 years ago