Answer: the goodwill is $5000
Explanation:
We don't take into account $60,000 because we are going to use the fair value or the reasonable price.
Net assets = Assets-liabilities
Net assets = $98,000 - $23,000
Net assets= $75,000
Burrough Corporation pay $. 80,000 (We don't take into account $3000 paid to another firm)
So the goodwill pay is $80,000-$75000= $5,000
Answer:
around 1915, nfl game tickets costed about $250. and in 1920, one game costed about $300.
Explanation:
sorry if this isnt professional, it didn't give me an exact answer. i hope this helps you though :)
Answer:
The insurer shall inform Paula that she cannot move towards the next option date but she can buy some more insurance, by proving her insurability.
Explanation:
Insurability rider is a kind of option that is available only in some health insurance policies. Where it is guaranteed it provides for the extra benefit where the person can get to buy another insurances to following the minimums and maximums, but at a specific defined future dates.
This shall ensure for the benefit of the user buying the insurance as they do not have to go through any further examination for buying the insurance.
Here, also the insurer can ask her to buy another insurance as with the explained reasons stated above.
Answer:
North Star
Adjusting Journal Entries:
December 31:
Rent Expense $1,280
Prepaid Rent $1,280
To accrue rent for the period.
Depreciation Expense $1,080
Accumulated Depreciation $1,080
To accrue Depreciation charge for the year.
Utilities Expense $9,800
Utilities Payable $9,800
To accrue unpaid utilities.
Income Tax Expense $470
Income Tax Payable $470
To accrue income tax liability.
Explanation:
Adjusting entries are journal entries that are made at the end of an accounting period to ensure that all expenses and incomes pertaining to the period are recognized in accordance with the accrual concept and the matching principle. These accounting concepts require that all expenses incurred whether paid for or not and income whether received or not, which relate to the period, are matched respectively.
To calculate:
1) Net income (loss) for 2010.
2) Operating cash flow
Solution: 1)
Sales = $850000
Less: Cost of goods sold = $610000
Gross profit = $240000
Less: Administrative and selling expenses = $110000
Earning before Interest, Tax and Depreciation = $130000
Less: Depreciation = $140000
Earning before Interest and Tax (EBIT) = ($10000)
Less: Interest expense = $85000
Earning before tax (EBT) = ($95000)
Less: Tax = $0 (as company is having negative EBT or loss hence no tax)
Net loss = $95000
2) Operating cash flow
EBIT + Depreciation - Tax
Wherein, EBIT = Earning before Interest and Tax
($10000) + 140000 - 0 = $130000