Teddy's Pillows had beginning net fixed assets of $471 and ending net fixed assets of $550. Assets valued at $319 were sold duri

Question

kvasek [131]

3 years ago

6

Teddy's Pillows had beginning net fixed assets of $471 and ending net fixed assets of $550. Assets valued at $319 were sold duri

ng the year. Depreciation was $42. What is the amount of net capital spending?

Business

1 answer:

photoshop1234 [79] · Answer 1 · 2022-08-12T23:59:47+03:00

Answer:

Net Capital Spending = $121

Explanation:

The Net Capital Spending is the amount of money a company spends in the acquisition of fixed assets during the year. Mathematically, it is represented as:

Net Capital Spending = Ending net fixed asset - Beginning net fixed asset + depreciation

Net Capital Spending = 550 - 471 + 42 = $121

∴ Net Capital Spending = $121