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kogti [31]
3 years ago
15

A truck costing $110,000 was destroyed when its engine caught fire. At the date of the fire, the accumulated depreciation on the

truck was $50,000. An insurance check for $125,000 was received based on the replacement cost of the truck. The entry to record the insurance proceeds and the disposition of the truck will include a
a. Gain on Disposal of $15000.
b. credit to the Truck account of $79000.
c. credit to the Accumulated Depreciation account for $46000.
d. Gain on Disposal of $61000.
Business
1 answer:
Eduardwww [97]3 years ago
3 0

Answer:

The original price of the truck was $110,000 and its accumulated depreciation was 50,000, which means that its remaining book value was 60,000 (110,000-50,000). So when its engine caught fire the truck's book value was 60,000 but because of the insurance the money received to replace the truck was 125,000. This means that a profit was made. To calculate the profit we will subtract the book value of the truck at the time which was 60,000 from the money received from insurance which was 125,000.

125,000-60,000 =65,000

So the $65,000 will be recorded as gain on disposal

Explanation:

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Vedmedyk [2.9K]

It is True that the more extensive an electrical wiring system is, the more cost added to the project.

<h3>What are the Types of Electrical Wiring Systems?</h3>
  • Wiring Clat

In this, 0.6 m-diameter porcelain, wood, or plastic cleats are fastened to walls or ceilings at regular intervals.

  • Wire Casing and Capping

In this, a cable is passed through a grooved wooden casing.

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Insulated wires are woven into the slender teak wooden battens of this. Plugs and screws are used to secure the wooden battens to the walls or ceilings. Use of tinned brass link clips allows the wires to be attached to the battens.

  • cable wiring

PVC cables are used in this wiring and are taken through either steel or PVC conduit pipes.

  • Sheathed in Lead Wiring

With the exception of the type of wire or cable, this wiring technique is likewise comparable to the CTS / TRS Wiring. In this, vulcanized Indian rubber is used to insulate the electrical conductor before a sheath made of a lead-aluminum alloy (95% lead and 5% aluminum) is applied.

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8 0
2 years ago
For each of the following, compute the present value (Do not round intermediate calculations and round your answers to 2 decimal
Naya [18.7K]

Answer:

Present Value = Future Value / ( 1 + interest rate) ^ years

1. Present Value = 15,251 / ( 1 + 7%)¹³

= $6,328.62

2. Present value = 49,557 / (1 + 13%)⁴

= $30,394.24

3. Present value = 884,073 / ( 1 + 14%)²⁹

= $19,780.96

4. Present Value = 548,164 / (1 + 9%)⁴⁰

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4 0
3 years ago
assume that your publicly traded company attempts to be completely transparent about its financial condition, and provides thoro
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Answer:

A company's stock price is defined by the demand the market has over it, by the analyst researching it and their forecast of growth, as well as the performance of the company at generating income.

Explanation:

The P/E ratio or price over earnings ratio is the ratio that explains the price of a stock. We take the price of the stock and then divide it by the earnings per share obtained by quarter and then by year when the fiscal year is over. It is influenced by the demand of the stock in the markets, by the projection analyst may have after researching the company and by the income, the company generates. Today there is an overvaluation of the stocks in all the markets. However by following the advice of W. Buffett and Peter Lynch, as well as Soros we can find undervalued stocks.

8 0
3 years ago
Suppose you observe the following situation:
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Answer:

The answer is:

* Expected return on the market: 2.74%

* Risk-free rate: 11.45%

Explanation:

Denote Rm is expected return on the market and Rf is risk-free rate. We have:

* For stock Pete: 14.5% = Rf + 1.35 x ( Rm - Rf) and

* For stock Repete: 11.8% = Rf + 1.04 x (Rm-Rf)

From the two equations above, we have: 0.31 * (Rm- Rf) = 2.7% <=> Rm - Rf = 8.71%;

So we have: 14.5% = Rf + 1.35 * 8.71% <=> Rf = 2.74%;

=> Rm = 2.7% + Rf = 8.71% + 2.74% = 11.45%.

So, Rf = 2.74%; Rm = 11.45%.

3 0
3 years ago
What total unrealized holding gain would beresford report in its 2021 income statement relative to its investments in bonds?
Airida [17]

Total unrealized holding gain would Beresford report in its 2021 income statement relative to its investments in bonds is $36,600.

Unrealized holding gains are increases in the value of assets that a company or individual continues to hold.

This gain has not yet been reported on the entity's income statement as a realized gain.

The gain is considered realized once the asset is sold.

Assets are frequently held even after a gain in value has occurred, either because the owner expects another gain or because the owner does not want to pay taxes on the gain.

Therefore, total unrealized holding gain is the difference between the fair value of trading securities on 12/31/2021 and at 12/31/2020.

For the figures used refer to the attached image.

total unrealized holding gain = (76000 - 65000) + (98100 - 67000) + (58500 - 64000)

                                            = 11000 + 31100 - 5500

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Hence, the correct answer is $36,600.

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