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andre [41]
3 years ago
5

On January 1, 2017, Grand Haven, Inc., reports net assets of $945,300 although equipment (with a four-year remaining life) havin

g a book value of $510,000 is worth $591,500 and an unrecorded patent is valued at $45,000. Van Buren Corporation pays $857,440 on that date to acquire an 80 percent equity ownership in Grand Haven. If the patent has a remaining life of nine years, at what amount should the patent be reported on Van Buren's consolidated balance sheet at December 31, 2018?
Business
1 answer:
borishaifa [10]3 years ago
5 0

Answer:

patent on the consolidated estament: 32,000

Explanation:

45,000 x 80% = 36,000

36,000 / 9 = 4,000 amortization per year

 patent of Grand heaven

<u>      debit           credit        </u>

  36,000 recognize at purchase

                        4,000 december 31th amortization

  32,000 balance.

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The following happens when a composer shortens a musical idea by using only a part of it:
gtnhenbr [62]
The answer is D. Fragmentation
3 0
3 years ago
Read 2 more answers
Jones Co. returned merchandise purchased from Smith Co. The journal entry to record the return of the merchandise by Jones under
Sati [7]

Answer:

a. Accounts Payable—Smith Co.; Merchandise Inventory

Explanation:

We assume that Jones Co. purchased merchandise on account.

In order to record the purchase returns we do the following,

Smith Co, debit, since this is a payable account and credit by nature, we debit it to reduce the balance payable amount by the amount of inventory returned.

We also credit out merchandise inventory, since it is reduced and no longer has the returns accumulated.

Option A is the right answer.

Hope that helps.

7 0
3 years ago
Thrillville has $39.5 million in bonds payable. One of the contractual agreements in the bond is that the debt to equity ratio c
Lyrx [107]

Answer:

1. Stockholders' equity = $30.5 million;

2. Debt-to-equity ratio = 1.65

3. See explanation

Explanation:

1. Stockholders' equity calculation:

We know, according to the balance sheet equation,

Total Assets = Total liabilities + Stockholders' equity

Given,

Total Assets = $80.7 million

Total liabilities = Current liabilities + long-term liabilities

Total liabilities = $10.7 million + $39.5 million

Total liabilities = $50.2 million.

Therefore, total stockholders' equity = Total assets - Total liabilities

Total stockholders' equity = $80.7 million - $50.2 million

Total stockholders' equity = $30.5 million.

2. We know,

Debt-to-equity ratio = \frac{Total debt}{Total stockholders' equity}

When a company seeks to measure its financial leverage, that company uses debt-to-equity ratio. It also suggests that how much capital contributed by the creditors.

From requirement 1, we get,

Total liabilities = $50.2 million.

Total stockholders' equity = $30.5 million.

Therefore, Debt-to-equity ratio = \frac{50.2}{30.5}

Debt-to-equity ratio = 1.65

3. The journal entry to record the lease agreement -

Debit   Lease account         $15.7 million

Credit  Lease liability                         $15.7 million

(when the company enters into the lease agreement)

4 0
3 years ago
Identify the type of sentence. because karl spent more money than he earned, he lost his house and car.
weeeeeb [17]
The correct answer is complex sentence.
A complex sentence is the one which consists of one independent clause and at least one dependent clause. An independent clause can stand on its own (in this sentence, the independent clause is - he lost his house and car), and a dependent one cannot because it is incomplete (in this sentence, the dependent clauses are - because Karl spent more money AND than he earned).
5 0
3 years ago
Mid- and long-term goals are less likely to require adjustments than short-term goals.
lutik1710 [3]

Answer: False

Explanation: Because it's best for you to do your small goals first and then go big.

4 0
3 years ago
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