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diamong [38]
3 years ago
14

An asset was purchased for $ 26 comma 000 on January​ 1, 2019. The​ asset's estimated useful life was five​ years, and its resid

ual value was $ 4 comma 000. The straightminusline method of depreciation was used. Calculate the gain or loss if the asset is sold for $ 19 comma 000 on December​ 31, 2019, the last day of the accounting period.
Business
1 answer:
Zielflug [23.3K]3 years ago
5 0

Answer:

Loss on disposal $1,800

Explanation:

Cost of Asset            26,000

Useful life               5years

Sale proceeds       19,000

Depreciation for the year=$26,000/5=$5,200

Written Down value(WDV)=$26,000-$5,200=$20,800

Loss on Disposal= Sale proceeds-   WDV=$19,000-$20,800=$1,800  

It is assumed that depreciation is fully charged for the year on asset.                            

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1. Choose a real or made up example of a company, and describe at least three variable costs the
Softa [21]

Answer:

Let Sanguine Wines Ltd. refer to a hypothetical company for the purpose. Following would constitute Sanguine Wines Ltd's variable costs:

  1. Raw Material or input prices: The raw material or inputs of sanguine wines limited purchases from suppliers such as dried grapes, sugar and the likes. The price of such inputs is prone to seasonal fluctuation and thus variable
  2. The performance related incentive for employees for number of bottles of wine created, would be variable cost as it would vary with the no of bottles produced.
  3. Discount allowed to distributors which varies based upon the number of bottles purchased by them.
  4. Commission paid to wine salesperson which varies with respect to bottles sold.
4 0
3 years ago
If three sandwiches and two bags of chips cost $22. 00, and two sandwiches and one bag of chips cost $14. 25, how much does a ba
morpeh [17]

A bag of chips will cost $1.25. The price is calculated by making linear equations in two variables and solving them by substitution method.

<h3>What is a linear equation in two variables?</h3>

Linear equation in two variables can be defined as an equation in the form:

\rm ax + by = c , where x and y are variables and a and b are not equal to 0.

For the given problem, let "s" be the cost of a sandwich and "c" be the cost of a chips bag.

Given:

The cost of three sandwiches and two chips bags is $22.00.

Therefore, the 1st equation will be:

\rm 3s +2c = 22                              

The cost of two sandwiches and one chips bag is $14.25.

Therefore, the 2nd equation will be:

\rm 2s + c = 14.25

To calculate the cost of a chips bag, we need to solve equation 1 and equation 2 by the substitution method.

From equation 2, the value of c will be:

\begin{aligned}\rm 2s + c &= 14.25\\\\c &= 14.25 - 2s\end                                   ... (3)

Now we will put  \rm c = 14.25 - 2s  in equation 1:

\begin{aligned} \rm 3s + 2c &= 22\\\\3s + 2(14.25 - 2s) &= 22\\\\3s + 28.50 - 4s &= 22\\\\-s + 28.50 &= 22\\\\s &= 28.50 - 22\\\\s &= \$6.50\end

On substituting the value of s in equation 3:

\rm  c = 14.25 - 2s \\\\c = 14.25 - 2(6.50)\\\\c = 14.25 - 13\\\\c = \$1.25

Therefore the cost of a bag of chips is $1.25.

Learn more about linear equations in two variables here:

brainly.com/question/84787

8 0
2 years ago
A small Canadian firm that has developed some valuable new medical products using its unique biotechnology know-how is trying to
nasty-shy [4]

Answer:

Correct Answer:

a. Manufacture the product at home and let foreign sales agents handle marketing.

Explanation:

For the small Canadian company, manufacturing the product at home (Canada) would afford them the opportunity to protect their new medical product from piracy. Also, they would be able to receive tax incentives from their government as well file for patent of their new innovation.

<em>The foreign agent would strictly be focused on the marketing of the finished product without having access to the detailed information of the product.</em>

8 0
2 years ago
XYZ Co. uses the percentage of credit sales method of estimating doubtful accounts. The Allowance for Doubtful Accounts has an u
leva [86]

Answer:

$16,700

Explanation:

The computation of the ending balance in the allowance for doubtful account is shown below:

= Unadjusted credit balance + Net credit sales × estimated bad debt percentage

= $4,100 + $210,000 × 6%

= $4,100 + $12,600

= $16,700

We simply added the unadjsuted credit balance and estimated amount after considered the estimated bad debt percentage

4 0
3 years ago
Alexa owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo:
Butoxors [25]

Answer:

Part(A):

Total expenses in connection with condo:

                 = 2000 + 6500 + 2000 + 1400 + 2500 + 14500

                 = $28,900

Assuming Alexa receives $20,000 inn gross rental receipts, she will incur losses = 20000 -28,900 = (8,900)

As Alexa's AGI from all sources other than the rental property($200,000) is higher than $150,000, she will not be able to deduct any amount of loss against her active income.

Therefore the loss is not deductible and rental activity has no effect on her AGI.

Part(B):

Assuming that Alexa’s AGI from other sources is $90,000.

Since her AGI is less $100,000, she will be able to deduct loss of $8,900

Therefore, rental activity loss will reduce Alexa's AGI to = 90,000 - 8.900 = 81,100

The rental activity loss will reduce her AGI by $8,900 and her AGI would be  81,100.

5 0
2 years ago
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