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aleksley [76]
3 years ago
13

1.6 Harper Travel Agency purchased land for $85,000 cash on December 10, 2015. At December 31, 2015, the land's value has increa

sed to $93,000. What amount should be reported for land on Harper's balance sheet at December 31, 2015?
Business
1 answer:
noname [10]3 years ago
4 0

Answer:

$85,000

Explanation:

In the balance sheet, a company records the value of assets at their historical cost. Assets are recorded in the balance sheet at the price that they were acquired.  Even if a company has strong reasons to believe that the value of an asset has increased, It cannot adjust its value in the books.

Harper will record the value of the land at $85,000.  $93,000 represents the fair value of the property. Harper cannot record the fair value in the balance sheet. The fair value is only used when disposing of the property. The only way of verifying the fair value is by selling the property.

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Pet World is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's IRR c
Len [333]

Answer:

C) 2.57%

Explanation:

Pet World's net cash flows:

<u>Year  </u>                  <u>Cash flow</u>

0                           -$9,500  

1                             $2,000

2                            $2,025

3                            $2,050

4                            $2,075

5                            $2,100

In order to find the rate of return we can use an excel spreadsheet and the IRR function =IRR (values,[guess]) =IRR (-9500,2000,2025,2050,2075,2100)

=IRR = 2.57%

3 0
3 years ago
Under the Securities Act of 1933, if damages were incurred and there was a material misstatement or omission in the financial st
dedylja [7]

Answer:

The CPA rebuts the allegations

Explanation:

The Securities Act of 1933 requires that investors receive financial and other significant information regarding any and all securities being sold publicly and prohibits deceit, misrepresentations, and other fraud in the sale of securities. Therefore, since there was material misstatement or omission in the financial statements, the only chance the CPA has is if they rebut the allegations. Meaning that they provide actual evidence, such as physical statements or witnesses that contradict or nullify the evidence that is being presented against them regarding the material misstatement or omission

3 0
3 years ago
On January 2, 2019, Adelphi Company purchased a patent for $175,000 plus $5,000 in legal fees. On that date, the patent had a re
Vikentia [17]

Answer:

$22,500

Explanation:

Data given in the question

Purchase value of the patent = $175,000

Legal fees = $5,000

The Remaining life of the patent = 13 years

Expected using life of the patent = 8 years

So by considering the above information, the annual amortization expense for 2019 is

= (Purchase value of the patent + Legal fees incurred) ÷ (Expected using life of the patent)

= ($175,000 + $5,000) ÷ (8 years)

= $22,500

7 0
3 years ago
Question 10 of 10: you've been meaning to fix those rotted boards on your porch for years. finally, last week the deck gave way.
yulyashka [42]

you've been meaning to fix those rotted boards on your porch for years. finally, last week the deck gave way. No, you will not be able to recover the cost of replacement. This is further explained below.

<h3>What is the cost?</h3>

Generally, the cost; In order to get or carry out (something), one must first spend (a certain quantity of money).

In conclusion, You've been looking at the rotten planks on your porch for years and know you need to do something about it. The deck ultimately collapsed last week. The cost of replacement cannot be recouped, unfortunately.

Read more about the cost

brainly.com/question/14094934

#SPJ1

5 0
2 years ago
Dia is a computer engineer in a small company. She notices that the company does not have its own website and realizes that the
rodikova [14]

Answer:

The answer is incubation process of creativity

Explanation:

This example shows an individual in the stage of the creative process called incubation. Because it is related to her intuition  and insights about what she knows and intents to her presentation.

8 0
3 years ago
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