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aleksklad [387]
3 years ago
12

On January 2, 2015, Quick Delivery Company traded in an old delivery truck for a newer model. The exchange lacked commercial sub

stance. Data relative to the old and new trucks follow:
Old Truck
Original cost $24,000
Accumulated depreciation as of January 2, 2015 16,000
Fair value of used machine 6,000
New Truck
List price $36,000
Trade in allowance for used machine 6,000
Cash paid with trade in 30,000
What should be the cost of the new truck for financial accounting purposes?
a. $30,000.
b. $36,000.
c. $38,000.
d. $40,000.
Business
1 answer:
fenix001 [56]3 years ago
7 0

Answer:

$36,000

Explanation:

The first step is to calculate the fair value of the new truck

(List price-cash paid with trade)-(original cost -accumulated depreciation)

= (36,000-30,000)-(24,000-16,000)

= 6000-8000

= loss of $2000

Therefore the cost of the new truck for financial accounting purposes can be calculated as follows

(Original cost- accumulated depreciation)+cash paid with trade-loss

= (24,000-16,000)+30,000-2000

= 8,000 + 30,000 - 2,000

= 38,000-2,000

= $36,000

Hence the cost of the new truck for financial accounting purposes is $36,000

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Answer:

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Explanation:

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4 0
3 years ago
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gayaneshka [121]
Benefits is the correct answer
3 0
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8 0
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1) Illustrate how the type of work that he or she does influences a person's lifestyle. For example, contrast a farmer, a factor
steposvetlana [31]

Answer:1)The type of one job influences his lifestyle

2)No

3) value of self services in an economy includes improved customer services,more convenient , reduced overhead cost, customer satisfaction, increase productivity.

Explanation:Type of job tells a lot about people lifestyle,eg a person who spend very long hours at work hardly have adequate rest and social life.

Contrasting between farmers, school teacher and factory worker,the factory workers are semi skilled,teachers skilled and farmer could be non skilled ,the school teacher schedule is always fixed 8am to 4pm for instance so they are more organized,they are mostly in formal attire while a factory worker run shifts and may be see in safety boots and overall and may have little or erratic schedules .the farmer on the other hand has no schedule ,has relaxed routine,wear casuals and not necessarily tidy,does things when willed as most are self employed.

Even in their eating habits,farmers eat more of fresh food,while teachers eat processed foods and factory workers are more likely to eat junks or snacks.

While a school teacher may be seen with books ,a factory worker may be seen with machines and equipment and farmers with tools ,tractors etc

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The organization uses less resources like staff,PCs to run self service this fund can be invested in other areas.

Increase customer service occurs as a result of self service , customer can do their trasaction at their pace and convenience.

4 0
3 years ago
Youns Inc. reported the following results from last year’s operations: Sales $ 10,500,000 Variable expenses 6,610,000 Contributi
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Answer:

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The combined turnover is the sum  of the turnover for last year and the turnover after the investment opportunity is taken.

Combined turnover = turnover last year + turnover from the new investment opportunity.

=  10,500,000 + 2,800,000

= $13,300,000

7 0
3 years ago
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