1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
valentina_108 [34]
3 years ago
7

In 2022, internal auditors discovered that Axel Corp., had debited an expense account for the $2,090,000 cost of a machine purch

ased on January 1, 2019. The machine's useful life was expected to be 11 years with no residual value. Straight-line depreciation is used by Axel. The journal entry to correct the error will include a credit to accumulated depreciation of:
Business
1 answer:
antoniya [11.8K]3 years ago
3 0

Answer:

Debit Depreciation expense $570,000

Credit Accumulated depreciation $570,000

<em>(To record the accumulated depreciation for 3 years)</em>

Explanation:

Using a Straight-line depreciation method, depreciation expense = (Cost - Salvage value)/Estimated useful life

Depreciation expense = $2,090,000 / 11 years = $190,000 yearly

We would assume that the internal auditors detected the error at the beginning of Year 2022, so the accumulated depreciation for 3 years (Jan 2019 - Dec 2021) would be $190,000 x 3 years = $570,000

The following correctional entries will apply:

Debit Fixed asset - Machine $2,090,000

Credit Expense account $2,090,000

<em>(To appropriately record the purchase of machine)</em>

The required adjustment fot the accumulated depreciation is recorded above under the answer section.

You might be interested in
Historical data show that during the recession of 1990–1991, the natural rate of unemployment was about 5.9% while the actual un
Lapatulllka [165]

Answer:

The actual unemployment rate was higher during the recession of 1990−1991, while cyclical unemployment was higher in 2001.

Explanation:

Given data in the question

In the year 1990-1991

The natural rate of unemployment = 5.9%

The rate of the actual unemployment = 7.0%

In the year 2001

The natural rate of unemployment = 4.8%

The actual unemployment rate = 6.0%

As we can see that

The actual unemployment is high in the year 1990-1991 i.e 7.0% as compare to the year 2001 i.e 6.0%

While the cyclical unemployment rate is high in 2001 i.e 1.2% (6.0 - 4.8%) as compare to the year 1990-1191 i.e 1.1% (7.0% - 5.9%)

6 0
3 years ago
Which statement about portfolio diversification is correct?
mario62 [17]

Answer:

C. As more securities are added to a portfolio, total risk typically would be expected to fall at a decreasing rate.

Explanation:

Portfolio diversification gives more security to a portfolio, which expected to results in a decreasing rate of total risk.

The portfolio which is diversified carries the co-variance measure of risk. It has the property of reducing the risk as it diversifies the portfolio to a great extent.

It reduces the overall risk by diversifying the assets i.e. stock , bonds, commodities etc.

Hence, the most appropriate answer is option C.

8 0
2 years ago
A process in which different individuals and units perform different tasks is known as:
elena-s [515]
The process is a multiplicative inverse of which people seem to check
4 0
2 years ago
Nile Corp. has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year:
True [87]

Answer:

Overheads cost allocated to Mossman Job  = $449

Explanation:

We have been provided the cost of each activity and their respective drivers.

There are three activities

Supervision of Direct Labor = $304,000 for 760,000 labor hours

Machine Maintenance = $153,600 for 960,000 hours

Facility rent = $165,000 for 110,000 square feet

Activities of Mossman Job and respective costs will be as follows:

Supervision of Direct Labor = $304,000/760,000 X 260 labor hours = $104

Machine Maintenance = $153,600/960,000 X 1,500 = $240

Facility Rent = $165,000/110,000 X 70 = $105

Net Overheads cost allocated to Mossman Job = $104 + $240 + $105 = $449

6 0
2 years ago
In 2009, __________ of all pedestrian fatalities were caused by impaired drivers.
Goshia [24]
Over 90 percent of the pedestrian fatalities occurred in single- vehicle crashes. In 2009, pedestrian deaths accounted for 12 percent of all traffic fatalities in motor vehicle traffic crashes. Since 2000, the number of pedestrian fatalities has decreased by 14 percent.
8 0
3 years ago
Read 2 more answers
Other questions:
  • Sandra Morris is presently leasing a small business computer from Eller Office Equipment Company. The lease requires 10 annual p
    10·1 answer
  • Which of the following represents a primary task and a dependent task?
    9·2 answers
  • Adina deposits $1,000 in the bank. The bank can then use her savings to make _____ to/for _____.
    6·2 answers
  • The application of science and research to human life and environments is called?
    6·1 answer
  • Imagine you live on the planet Krypton. The loanable funds market on Krypton is thriving and life is good. However, the planet i
    10·1 answer
  • Yasmin listed a house at a 6% commission rate, and it just sold for $463,500. Her brokerage and the buyer’s agent’s brokerage sp
    5·1 answer
  • Management needs to be prepared to deal with problems and seize opportunities as they arise. A company often identifies alternat
    12·1 answer
  • The classical view of the economy holds that transitions to full employment are relatively quick.1. Under what condition(s) can
    15·1 answer
  • Everything else held constant, when bonds become less widely traded, and as a consequence the bond market becomes less liquid, t
    10·1 answer
  • What is the promissory note???​
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!