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Novay_Z [31]
2 years ago
8

Alamos Co. exchanged equipment and $18,000 cash for similar equipment. The book value and the fair value of the old equipment we

re $82,000 and $90,000, respectively. Assuming that the exchange lacks commercial substance, Alamos would record a gain/(loss) of: A. $26,000. B. $8,000. C. $(8,000). D. $0.
Business
1 answer:
Mila [183]2 years ago
4 0

Answer:

correct option is B. $8,000

Explanation:

given data

equipment = $18,000

book value = $82,000

fair value = $90,000

to find out

Alamos would record a gain/(loss)

solution

we know that When exchange have commercial substance we need to record the gain arising from transfer of old assets

so here Gain on transfer of old assets is

Gain on transfer of old assets =  fair value of the old equipment - book value of the old equipment     ................1

Gain on transfer of old assets =  $90,000 -  $82,000

Gain on transfer of old assets = $8,000

so here correct option is B. $8,000

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You have just completed a $ 24 comma 000 feasibility study for a new coffee shop in some retail space you own. You bought the sp
ikadub [295]

Answer:

$150,300

Explanation:

The computation of the correct initial cash flow is shown below:

= Capital expenditure + net after taxes + initial investment in inventory

= $33,000 + $112,000 + $5,300

= $150,300

The net after taxes is also term as opportunity cost

And, the initial investment in inventory is also term as change in working capital

All other information which is given is not relevant. Hence, ignored it

6 0
3 years ago
(Consider This) In 1975, McDonald's introduced its Egg McMuffin breakfast sandwich, which remains popular and profitable today.
Masteriza [31]

Answer:

C. consumer sovereignty.

Explanation:

Consumer sovereignty in economics imply that consumers have the power to determine what will be produced. They do this by demanding for products they want, increasing its supply and demanding less of products they do not want which reduces its supply.

I hope my answer helps you

7 0
3 years ago
What role will sustainability methods and techniques in the area of Manufacturing for companies in the future?
bija089 [108]

Answer:

Sustainable manufacturing aims to produce goods with minimum use of energy and natural resources, maximum profit, while ensuring societal health and safety throughout the product life cycle.

Explanation:

8 0
2 years ago
Bramble Corp. has two divisions; Sporting Goods and Sports Gear. The sales mix is 65% for Sporting Goods and 35% for Sports Gear
Dima020 [189]

Answer:

The break even in dollars is $23000000

Explanation:

The break even point in dollars is the amount of revenue which produces no profit or no loss and where total revenue equals total cost. The break even in dollars is calculated by dividing the fixed cost by the weighted average contribution margin ratio.

Break even in dollars = Fixed costs / Weighted average contribution margin ratio

Weighted average contribution margin ratio is the contribution margin ratio of each products multiplied by the products weight in the sales mix.

Weighted average contribution margin ratio = Weight in sales mix of Product A * contribution margin ratio of product A + Weight in sales mix of Product B * Contribution margin ratio of Product B

Weighted average contribution margin ratio = 0.65 * 0.3 + 0.35 * 0.5  = 0.37

Break even in dollars = 8510000 / 0.37

Break even in dollars = $23000000

3 0
3 years ago
What would a risk be based on the following information: Marty is 60 percent certain that he can get the facility needed for $45
snow_lady [41]

Answer:

Marty is 60 percent  sure  that he can save the project the amount of $7,000 which means that the  amount of $4,200 will tend to depict  the 60 percent certainty Amount  of the savings

Explanation:

What would the risk be based on the information given in a situation where he is 60 percent sure that he can get the facility needed for the amounts of $45,000 in which the amount is lower that the amount of $7000 that was planned for is that Marty is 60 percent  sure that he can save the project the amount of $7,000 which means that the amount of $4,200 which is simply calculated as (60%*$7,000) will tend to depict the 60 percent certainty Amount  of the savings.

5 0
3 years ago
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