1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
telo118 [61]
3 years ago
10

On January 1, 2021, the Highlands Company began construction on a new manufacturing facility for its own use. The building was c

ompleted in 2022. The company borrowed $1,500,000 at 10% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2021: $8,000,000, 15% bonds $2,000,000, 10% long-term note Construction expenditures incurred during 2021 were as follows: January 1 $ 660,000 March 31 1,260,000 June 30 872,000 September 30 660,000 December 31 460,000 Required: Calculate the amount of interest capitalized for 2021 using the specific interest method. (Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%).)
Business
1 answer:
sattari [20]3 years ago
8 0

Answer:

Answer for the question :

On January 1, 2021, the Highlands Company began construction on a new manufacturing facility for its own use. The building was completed in 2022. The company borrowed $1,500,000 at 10% on January 1 to help finance the construction. In addition to the construction loan, Highlands had the following debt outstanding throughout 2021: $8,000,000, 15% bonds $2,000,000, 10% long-term note Construction expenditures incurred during 2021 were as follows: January 1 $ 660,000 March 31 1,260,000 June 30 872,000 September 30 660,000 December 31 460,000 Required: Calculate the amount of interest capitalized for 2021 using the specific interest method. (Do not round the intermediate calculations. Round your percentage answers to 1 decimal place (i.e. 0.123 should be entered as 12.3%).)"

is explained in the attachment.

Explanation:

Download pdf
You might be interested in
Lucky started a new business last year. Since it was the first year of operation, the business purchased $10,000 in machinery an
Jet001 [13]

Answer:

The answer is: A) The new machinery can be depreciated using the same method or different method than the previously purchased machinery

Explanation:

Their is no rule that requires a business to always use the same depreciation method for the assets they purchase.

The most common depreciation methods include:

  • Straight-line.
  • Double declining balance.
  • Units of production.
  • Sum of years digits.

Depending on the asset a business may consider one depreciation method that better suits it, and another depreciation method for their other assets.

6 0
3 years ago
Trout Lumber Yard has a current accounts receivable balance of $447,516. Credit sales for the year just ended were $8,105,305. a
musickatia [10]

Answer:

Trout Lumber Yard

a. The receivables turnover = Net Credit Sales/Average Receivables

= $8,105,305/$447,516

= 18 times per year

b. The Days' Sales in Receivables = Average Receivables/Credit Sales * 365

= $447,516/$8,105,305 * 365

= 20.15 days

c. On the average, it took 20.15 days (365/18.11) for credit customers to pay off their accounts during the past year.

Explanation:

a) Data and Calculations:

Accounts receivable balance = $447,516

Credit sales for the year just ended = $8,105,305

The receivables turnover = Net Credit Sales/Average Receivables

= $8,105,305/$447,516

= 18.11 times

The Days' Sales in Receivables = Average Receivables/Credit Sales * 365

= $447,516/$8,105,305 * 365

= 20.15 days

8 0
3 years ago
What is wrong with Brainly? People (or maybe even bots) keep posting a link to download a file to get the description/answer. I
lukranit [14]

Answer:

exactly!! i asked a question and one person responded with some link saying they put the answer on there. i think people just want points or something:

7 0
3 years ago
Read 2 more answers
Write a conversation between florist and customer for ordering a bouquet to gift for mom on Mother's Day - write with etiquette
Tatiana [17]

Answer:

sorry sir you would have to do this on your own

8 0
2 years ago
Which of the following statements about Treasury bonds is the most accurate? Treasury bonds are completely riskless. Treasury bo
WARRIOR [948]

Answer: 1. Treasury bonds are not completely riskless, since their prices will decline when interest rates rise.

2. Walmart

3. Corporate bonds

Explanation:

1. Indeed even though Treasury bonds have a very low risk rating, they are not completely risk-less. They have a very low risk rating because they will always be honoured (US T - bonds that is) and so that eliminates the default risk. However, they are still exposed to maturity risk as well as inflation risk for the most part. This means that as interest rates rise therefore, their prices drop making them just a little but risky.

2. Walmart issued the bonds making them the issuer. The rest of the names are Underwriters.

3. Since the bonds were issued by a Corporation being Walmart, the bonds are Corporate Bonds.

8 0
3 years ago
Other questions:
  • Barbara wants to reconcile her bank statement. She needs to calculate __ and look for __.
    5·2 answers
  • The ________ of focus group participants should be judged against the target market profile to assess to what degree the groups
    6·2 answers
  • What is the biggest difference in who makes the contributions to 401(k) and IRA retirement plans?
    6·1 answer
  • Why do economists study the money supply? Be sure to mention liquidity in your response.
    6·2 answers
  • Gary wants to create a perceptual map for positioning using the attribute-based approach. He comes to you for advice as to how h
    5·1 answer
  • Jenny was feeling frustrated. "What's taking them so long to make a decision? It's been weeks since I first met with them, and t
    8·2 answers
  • Rick has been distressed over a long period of time. He has had problems coping with life and relating to people. In addition, h
    11·1 answer
  • .
    10·2 answers
  • Your brother is starting 9th grade next year and is thinking about going to college. What steps would you recommend he take
    11·2 answers
  • With regards to interpretation, what are the important areas that appear on a cvp graph?.
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!