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vaieri [72.5K]
3 years ago
11

A subsidiary has previously unreported brand names valued at $50 million at the date of acquisition. The brand names have an ind

efinite life. It is now the end of the second year since acquisition, and you are consolidating the accounts. The subsidiary still owns the brand names. Impairment testing reveals that the brand names were impaired by $5 million in the first year and $7 million in the second year. Eliminating entry (E) will include a(n):
Business
1 answer:
Damm [24]3 years ago
4 0

Answer:

$38 million.

Explanation:

From the question, we are given the following data or information;

A subsidiary has previously unreported brand names valued = $50 million at the date of acquisition.

Impairment testing reveals that the brand names were impaired by $5 million in the first year.

Impairment testing reveals that the brand names were impaired by $7 million in the second year.

Therefore, Eliminating entry (E) will include a(n):

=> $(50 - 5 - 7) million = $38 million.

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IBM manager Celia Moore coordinates IBM's long-standing "Reinventing Education" program that involves intensive research into ho
nirvana33 [79]

Answer: Triple bottom line

Explanation:

Triple bottom line is referred to as an or known as the accounting framework which tends to include three parts, i.e. environmental, social, and financial. Some of the organizations have been known to adopt the Triple Bottom Line framework in order to evaluate the performance in wider perspective i.e. to create the greater and larger business value.

4 0
3 years ago
During fiscal 2016, Shoe Productions recorded inventory purchases on credit of $337.8 million. The financial statement effect of
iren2701 [21]

Answer:

A. Increase liabilities (Accounts payable) by $337.8 million

Explanation:

The journal​ entry will be: Inventory (Credit - Increased) 337,860,000 and Accounts payable (Debit - Increased) 337,860,000.

The company must recognize the increase in the Inventory and the medium of payment (Accounts payable).

B is false because this operationn can also be a decrease in cash, but the amount in the operation is too high for this payment medium.

C is false because, the inventory is not sold, and COSG will be increased when the goods are sold.

D is also false because the inventory is increasing, not decreasing.

6 0
3 years ago
When the economy is at full​ employment, A. the unemployment rate is greater than zero. B. all remaining unemployment is either
Andrej [43]

Answer:

D. All of the above.

Explanation:

Full employment describes an economic situation where every able and willing worker is employed. It represents a situation where the highest possibles numbers of unskilled and skilled people are in employment. In practice, full employment is when the economy attains the optimal levels of unemployment.

At full employment, the unemployment rate will be above zero percent. The reason is that the economy will always have as frictional unemployment. Frictional unemployment is the time it takes for an individual to find their ideal job. Structural and frictional unemployment contribute about 2 to 3 percent of unemployment in the economy. Economists thus consider a 3  percent unemployment as full employment.

3 0
3 years ago
g Last year Thomson Inc's earnings per share (EPS) were $3.50, and its growth rate during the prior 5 years was 6.6% per year. I
mariarad [96]

Answer:

17.19   years

Explanation:

The triple value of the earnings per share=$3.50*3=$10.50

The growth rate is 6.6%

Using the nper formula in excel, we can determine the number of years earnings per share would triple

=nper(rate,pmt,-pv,fv)

rate is 6.6%

pmt is not applicable to the scenario ,hence it is zero

pv is the current earnings per share

fv is the future earnings per share

=nper(6.6%,0,-3.5,10.5)= 17.19  

8 0
3 years ago
When can interest be included in the acquisition cost of a plant asset?
hammer [34]

Answer:

a. during the the construction period of a self-constructed asset

Explanation:

"Determining the cost of constructing a new building is often more difficult. Usually this cost includes architect’s fees; building permits; payments to contractors; and the cost of digging the foundation. Also included are labor and materials to build the building; salaries of officers supervising the construction; and insurance, taxes, and interest during the construction period."

Reference: Porter, Debbie, and Tidewater Community College. “Principles of Accounting I.” Lumen, 2019,

7 0
4 years ago
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