Select the correct answer.

Fruitasia purchased land, a building, and equipment for $800,000. the estimated fair values of the land, building, and equipment

marishachu [46]

Given; Equipment and building = $800,000Fair value of the land = $100,000Fair value of the building = $700,000Fair value of the equipment = $200,000
Solution;
$800,000 x [$100,000/($100,000 + $700,000 + $200,000)] = $80,000.
The company would record the land of $80,000

6 0

3 years ago

5) In class we discussed different shocks; for each of the following, describe how monetary policymakers would respond (if at al

Allushta [10]

Answer:

a) monetary policy will be eased

b) Monetary policy will be tightened

c) Monetary policy will be eased

Explanation:

A) A reduction in autonomous consumption

A reduction in autonomous consumption will cause the monetary policy makers to apply an autonomous easing of monetary policy and this is to help balance the economy because of the reduction seen in aggregate demand

b) An increase in government expenditures

An increase in government expenditures will result in an increase in demand hence monetary policy will be made tighter in order to balance the economy activities

c) An appreciation of the dollar

when the dollar appreciates relative to other currencies the effect is that there will be a decrease in exports and increase in imports, hence the monetary policymakers will apply an autonomous easing of monetary policy to help balance economic activities

5 0

3 years ago

Uncertainty about interest-rate movements and returns is called Question 3 options: A) market potential. B) interest-rate irregu

WITCHER [35]

Answer:

The correct answer is letter "C": interest-rate risk.

Explanation:

Interest-rate risk is the threat that already owned investments will lose market value if new investments with higher interest rates come onto the market. It has a more direct effect on the value of bonds than stocks and is a major risk to all bondholders. Bond prices decrease and the interest rate increases and when bond prices increase it is because interest rate decreased.

6 0

3 years ago

Alejandro was reprimanded for an accounting error by his boss in front of his co-workers. Alejandro gets home from his job and y

aev [14]

Answer:

displacement

Explanation:

Displacement is a psychological defense mechanism where the person redirected the emotion in a negative way via from the real source to the lower threatening receipt

As in the given situation, the husband yells his wife and then wife yells her children so this represent that they use the defense mechanism i.e. displacement

4 0

3 years ago

Tara Company owns 30% of Hawkins, Inc. and applies the equity method. During the current year, Hawkins buys inventory costing $4

Step2247 [10]

Answer:

The correct option is d. $7,500

Explanation:

For computing the unrealized gain, first we have to compute the gross profit ratio which is shown below:

Since gross profit is not given in the question, so, first we have to find it.

The gross profit formula is shown below:

= Sales revenue - cost of goods sold

= $500,000 - $400,000

= $100,000

Now, gross profit ratio equals to

= (Gross profit ÷ sales revenue) × 100

= ($100,000 ÷ $500,000) × 100

= 20%

In the question, the 25% of merchandise is still held by Tara.

Since merchandise inventory is not given

So, we multiply the gross profit by 25% and 30%

In mathematically,

= Gross profit × 25% × 30%

= $100,000 × 25% × 30%

= $7,500

Hence, the $7,500 amount of unrealized gain must be deferred by Hawkins in reporting on the equity method

Therefore, the correct option is d. $7,500

3 0

4 years ago