Partial-year depreciation; asset addition; increase in useful life

Assume Aircastle reported $20 million in goodwill on its acquisition of Broadvision. Assume the fair value of the earnout in agr

hoa [83]

Answer:

Journal Entry

Dr. Contingent Consideration Liability $500,000

Cr. Goodwill $500,000

Explanation:

It is assumed that the decline in the fair value is the correction of the acquisition entry. It means due to this event the consideration liability and goodwill are overstated we need to rectify the balances.

Hence,

The contingent consideration liability will be debited to reduce the liability and goodwill will also be decreased by crediting the goodwill account.

4 0

3 years ago

The "too big to fail" policy of the Fed, whereby some banks are bailed out if they are in danger of failing because they are too

Jlenok [28]

Answer:

c.Moral hazard

Explanation:

Moral hazard can occur when banks take on excessive risk more than they would normally take on because they know they would be bailed out if they fail.

I hope my answer helps you

5 0

4 years ago

Edie would like to better understand a new code section enacted four weeks ago. Which of the following authorities will help Edi

Talja [164]

Answer:

Committee reports

Explanation:

Committee reports

Committee report will help Edie in order to understand the newly enacted code section .

Since ,

A committee report is the report which is submitted by the committee to an assembly on the matters related to the business , which is referred to committee or may be on other matters .

Hence , the correct answer is C. Committee reports .

3 0

3 years ago

Am i sus???????????????????????? ajajjjjajajaajajJaJJJJj

VLD [36.1K]

Explanation:

I guess? I cant tell ....

6 0

3 years ago

Read 2 more answers

The inventory of Cullumber Company was destroyed by fire on March 1. From an examination of the accounting records, the followin

maria [59]

Answer:

a. Merchandise lost by fire value = $20,760

b. Merchandise lost by fire value = $25,770

Explanation:

Net sales = $51,000 - $1,100

= $49,900

Net purchase cost = $31,000 + 1,200 - $1,500

= $30,700

a. Gross profit = $49,900 × 40%

= $19,960

Cost of goods sold = $49,900 - $19,960

= $29,940

Cost of goods sold = beginning inventory + Purchases - ending inventory

= $29,940 = $20,000 + $30,700 - ending inventory

Ending inventory = $20,760

Merchandise lost by fire value = $20,760

b. Gross profit = $49,900 × 30%

= $14,970

Cost of goods sold = $49,900 - $14,970

= $34,930

Cost of goods sold = beginning inventory + Purchases - ending inventory

= $34,930 = $30,000 + $30,700 - ending inventory

ending inventory = $25,770

Merchandise lost by fire value = $25,770

5 0

3 years ago