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tia_tia [17]
3 years ago
7

Smith buys and sells equity securities. On December 15, 2021, Smith purchased $542,000 of Jones shares and elected the fair valu

e option to account for the Jones investment. As of December 31, 2021, the Jones shares had a fair value of $588,000. In the 2021 financial statements, Smith will report (ignore taxes):______.
A. Investment income of $25,000 in its income statement.
B. Other comprehensive income of $25,000.
C. Accumulated other comprehensive income of $525,000.
D. An investment in Jones of $500,000.
Business
1 answer:
zimovet [89]3 years ago
4 0

Answer:

$46,000

Explanation:

We can find out the the revaluation gain that need to be reported at the year end by just deducting the the cost of the investment by its current fair value .

DATA

Fair value = 588,000

Cost = 542,000

Revaluation gain = Current fair value - Cost

Revaluation gain = 588,000 - 542,000

Revaluation gain = $46,000

The revaluation gain of $46,000 will be reported in other compreensive income of smith's financial statements.

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Van Frank Telecommunications has a patent on a cellular transmission process.
Sonbull [250]

Answer:

Van Frank Telecommunications

December 31, 2016:

Debit Amortization Expense - Patent $4,400,000

Credit Accumulated Amortization-Patent $4,400,000

To record the revised amortization expense for the year.

Explanation:

Data and Calculations:

Patent's value on January 1, 2012 = $19,800,000

Patent's assessed lifespan = 9 years

Amortization expense for each year on straight-line = $2,200,000 ($19,800,000/9)

Accumulated Amortization for Patent = $6,600,000 (for 3 years)

Net book value of patent = $13,200,000 ($19,800,000 - $6,600,000)

Revised lifespan = 6 years

Revised amortization expense per year = $4,400,000 ($13,200,000/3)

8 0
3 years ago
Luis received his account statement. He needs to make sure the balance in his checkbook register is correct. To reconcile his ch
Luden [163]
<span> I would say to add all of the transactions together</span>
8 0
3 years ago
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Susan buys a new cell phone priced at $145 and agrees to pay for it over 12 months with 10% simple interest. What is her monthly
algol [13]

Answer:

Monthly payment 13.

Explanation:

No Mont Capital Interest

   

1         13 12 1

2         13 12 1

3         13 12 1

4          13    12 1

5          13 12 1

6          13 12 1

7         13 12 1

8          13 12 1

9         13 12 0

10         13 12 0

11          13 13 0

12         13 13 0

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6 0
3 years ago
Laflin Company reported the following year-end information: Beginning work in process inventory$1,080,000 Beginning raw material
melomori [17]

Answer:

b. $2,580,000

Explanation:

The formula and the computation of the cost of goods manufactured is shown below:

= Direct materials used + Direct labor cost + Manufacturing overhead cost + beginning work-in-process inventory - ending work-in-process inventory

= $780,000 + $900,000 + $720,000 + $1,080,000 - $900,000

= $2,580,000

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= Beginning raw material inventory + purchase made - ending raw material inventory  

= $300,000 + $960,000 - $480,000

= $780,000

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3 years ago
WILL GIVE BRAINLIEST!! Answer the following 3 questions A, B, or C
True [87]

Answer:

B

C

A

Explanation:

7 0
2 years ago
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