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elixir [45]
3 years ago
8

Wen Co. purchased a building for $200,000. Wen paid $20,000 in lawyer and title fees. Wen also paid an additional $15,000 to mod

ify the building in order to accommodate his business needs. Wen should record the cost of the building at:
Business
1 answer:
Alexeev081 [22]3 years ago
4 0

Answer:

$235,000

Explanation:

A company can capitalize the cost of assets, delivery cost, legal & documentation charge and any other directly attributable cost that is incurred to bring the asset in the condition as intended by management.

Therefore, cost of asset, title fee and building modification fee shall be added in the cost of asset as follows:

Cost of Asset                           200,000

Lawyer and title fee                   20,000

Building Accommodation        <u>   15,000</u>

Total                                          <u>235,000</u>

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3 years ago
What happens if you fail to pay your annual taxes?
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Answer and Explanation:

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2 years ago
Q 4.35: McGinnis Construction is a cash-basis company with a fiscal year-end of June 30. McGinnis’ employees earn a normal weekl
hjlf

Answer: Understatement, $30,900

Explanation:

There will be an UNDERSTATEMENT of McGinnis' net income for the most recent fiscal year of $30,900.

The Understatement arises because as of year end which is June 30th, McGinnis were not paid for their services that cost $40,900 and instead will only be paid on the 8th of the next month so it was not accounted for in the net income.

The reason the net income understatement is $30,900 and not $40,900 is because McGinnis will still have to account for the payment to it's employees. If in a five day week they earn $12,500, that would mean that they earn $2,500 a day (12,500/5). Seeing as June ended on a Thursday, that is a 4 day week which means $2,500*4= $10,000.

That $10,000 will reduce the net income by that amount.

The net effect is a $30,900 UNDERSTATEMENT.

4 0
3 years ago
Riverbed Corporation issued 1,900 shares of $10 par value common stock upon conversion of 950 shares of $50 par value preferred
masya89 [10]

Answer:

The answer is given below;

Explanation:

 Preference stocks  950*50    Dr.$47,500

 Paid in capital in excess of par-preference shares  Dr.$  13,300                                  

 (64-50)*950

  Common Stocks  1,900*10        Cr.$19,000

  Paid in capital in excess of par-common stocks    Cr.$41,800

   (64*950)-(1900*10)                                        

8 0
3 years ago
The general investment strategy based on a goal of acquiring existing, seasoned, relatively low-risk properties that are at leas
marusya05 [52]

The general investment strategy based on a goal of acquiring existing, seasoned, relatively low-risk properties that are at least 80 percent leased to tenants with low credit risk, is Core strategy.

<h3 /><h3>What is a Core strategy?</h3>

The organization's strategy, goals, objectives, strategic initiatives, and execution are all connected through Core Strategy, an agile strategic management solution.

Visioning, goal-setting, resource allotment, and prioritization are the four most commonly acknowledged fundamentals of business strategy.

It communicates to your team if your focus has been on performance or results and makes it clear to potential consumers what market segment you service and what distinguishes your company strategy from the competition.

Investigate various products or services, look into demographics, and investigate your rivals.

Setting goals, assessing the external and internal environments of the firm, reviewing strategies, and ensuring that management implements the strategies across the organization are all part of strategic management.

Learn more about Core strategy, here

brainly.com/question/29360770

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3 0
1 year ago
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