Answer:
See below
Explanation:
The cost of land to be included in the balance sheet would not only include the price paid to acquire the land but also include cost or revenue received in the process while also include all activities required to bring the land to the stage in which it may be ready for usage.
With regards to the foregoing, the cost of land to be included in the balance is is
= Cash paid + short term note + legal fee + delinquent taxes + Fees paid to remove old building from the land - sales of materials salvaged from demolition of the building
= $40,000 + $306,000 + $1,665 + $13,100 + $22,500 - $5,200
= $378,065
Therefore, cost of land to be included in the balance sheet is $378,065
Answer:
A) The cash receipt of $6490 is shown as a positive cash flow in the investing activities section.
Explanation:
The neet book value of the equipment sold, is a non-cash item, so all the money reveiced from the sale is reflecting on as a positive cash flow in the financing activities section.
Answer:
First payment=$149,950.50
Second payment=$149,901
Explanation:
Annual amount of interest paid=$150,000×7.5%
=$150,000×0.075
=$11,250 per annum
monthly interest= annual interest /12
=$11,250/12
=$937.50
As given,
Principal & interest payment=$987
Monthly principal payment= principal & interest payment - monthly interest
=$987-$937.50
=$49.50
First month payment= original loan - monthly principal payment
=$150,000-$49.50
=$149,950.50
Second month payment= first month payment- monthly principal payment
=$149,950.50-$49.50
=$149,901
When a company uses the allowance method to measure bad? debts, Bad Debts Expense.
<span>"The Bad Debts Expense account is facing a difficulty for achieving the objective, and when a certain or some account is written off".
This is Bad Debts Expense.</span>
