1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mariarad [96]
4 years ago
13

Macon Enterprises purchased land for $2,000,000 in 2001. In 2017, an independent appraiser assessed the value at $3,400,000. Wha

t amount should appear on the financial statements in 2017 with respect to the land and what accounting assumption or principle explains why?
Business
1 answer:
Dafna11 [192]4 years ago
6 0

Answer:

The financial statements balance for land will be 2,000,000

Under the Cost and conservatism principles.

Explanation:

Property, Plant and Equipment are valued at cost.

The financial statements balance for land will be 2,000,000

Under the GAAP this should be the principles to explaing this reasoning:

<em>Conservatism principle: </em>Revenues, Gains and assets only when you are sure that they will occur. The land is not for sale, and it is not expected to be sold so the potencial gain for selling or valuation should not be recorded.

<em>Cost principle: </em>The bookkepper should post at their original purchase costs.

You might be interested in
Both normal and special cause variation add to project cost and need to be considered by project managers
Paha777 [63]

Answer:

True

Explanation:

Variations in both common and special circumstances contribute to project costs and need to be weighed by project managers when they want to work more often.

  • Variability, is the degree to which data deviate differ from the estimated value in a probability distribution or data set, and the extent to which those data points differ from one another.
  • This is most commonly attributed in financial terms to the volatility of the returns on investment.

therefore the answer is true for the following.

4 0
4 years ago
What do Hotel, Motel, and Resort Clerks need to be knowledgeable about? Check all that apply.
klio [65]

Answer:

Well obviously the clerks have to know about C hotel services, D local attractions, amd F checkout times. I would also add B first aid. I do not see why their job would include airport safety or food hygiene. The restaurant, if there is one inside the hotel, would be responsible for that. So I would go with B, C, D and F.

Explanation:

8 0
4 years ago
Suppose you want to establish a business .describe how you would use any five entrepreneur qualities to make sure that your busi
masha68 [24]
First, is that I will never forget about my passion for the line of work that I am in. Passion means pursuing your dream despite setbacks. 

Second, is that I will make sure that I will be open to new ideas and perspectives. I have to keep my mind open, especially to change. There are many things that I do not know, and if I want to be successful, I will not pretend that I know everything. Being open-minded will help my business thrive. 

Third, I will always strive to learn about my line of work. This coincides with my second quality. 

Fourth, I will make sure that I am always two steps ahead of my game. While having direction is great, it is best to keep my feet up and know what to expect. This will ensure that I will encounter as little problem as possible. 

Lastly, I will never stop innovating. Innovating does not just mean that I should have great ideas; innovating means making my great ideas even greater! By learning how to do so, it will make sure that my business will not get left behind. 
3 0
3 years ago
Consider a $1000 bond that pays an annual interest rate of 8% and matures in two years. The prevailing interest rate has dropped
Anika [276]

Answer:

Current bond price = 80 / (1+0.04)^1 + 1080 / (1+0.04)^2

Explanation:

The Coupon payment = 0.08 * 1000 = 80

The Payment at EOY 1 = 80

The Payment at EOY 2 = 80 + 1000 = 1080

market interest rate = 4%

Current bond price = 80 / (1+0.04)^1 + 1080 / (1+0.04)^2

7 0
3 years ago
Sunshine mining bonds have a $1,000 face value, pay $95 annual interest, mature in 2020, and are currently quoted at $1,302.50.
Over [174]
<span>The coupon rate of the sunshine mining bonds is 7.29%. Coupon rate is figured by dividing the par value ($1302.50) by the annual interest (yield). If the face value of the bond was only given as well as the annual interest, the coupon rate of the bond would be 9.5%.</span>
5 0
3 years ago
Other questions:
  • A team of engineers has decided to design a new shoe for people suffering
    15·2 answers
  • Eve's Apples opened business on January 1, 2016, and paid for two insurance policies effective that date. The liability policy w
    14·1 answer
  • Talk to a 40-year-old business professional with a family that includes a spouse and children. This person can be a family membe
    7·1 answer
  • $320,000 and would have a sixteen-year useful life. Unfortunately, the new machine would have no salvage value. The new machine
    7·1 answer
  • A war begins between two countries, causing a need for thousands of men workers to produce uniforms and Nezos
    14·1 answer
  • In preparing a company's statement of cash flows for the most recent year using the indirect method, the following information i
    15·1 answer
  • Jerry is an adjuster and has signed a contract with ABC Insurance to adjust claims in an area recently devastated by a hurricane
    14·1 answer
  • Suppose that tom bought a bike from helen for $195. if helen’s reservation price was $185, and tom's reservation price was $215,
    10·1 answer
  • The income statements for four consecutive years for Colca Company reflected the following summarized amounts:
    5·1 answer
  • Budgeting, analysis of investment proposals, and provision of funds are activities associated with the _______ function.
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!