Answer: $910,000
Explanation:
Pension expense is calculated by the formula:
= Prior Service cost for the year+ Service cost + Interest cost - Expected return on plant assets
Prior Service cost = Prior service cost / Service life of active employees
= 8,000,000 / 20
= $400,000
Expected return on plan assets = Plan assets * Interest rate
= 1,500,000 * 10%
= $150,000
Pension expense = 400,000 + 560,000 + 100,000 - 150,000
= $910,000
Answer: Option D
Explanation: In simple words, it refers to an implemented structure under which every employee of the organisation works to maintain high standards of performance in every aspect of the operations.
In other words, it refers to the organisation wide efforts under which all employees works for the betterment of the organisation.
Hence from the above we can conclude that the correct option is D.
Answer:
1.88 years
Explanation:
Payback period is the time in which a project returns back the initial investment. Initial Investment is recovered within the first two annual Cash inflows.
Payback Period = 1+0.88 = 1.88 years
All the working are made in the MS Excel File attached with this answer, pleas find it.
Answer:
The amount of gain or loss should be recorded on this exchange: b. $8,000 gain
Explanation:
Book value of the old sailboat = old sailboat's cost - accumulated depreciation = $110,000-$22,000 = $88,000
Trade-in allowance of the old sailboat - Book value of the old sailboat = $96,000 - $88,000 = $8,000 >0
Hunter Sailing Company only paid $28,000 in addition to the old sailboat to acquire the new sailboat.
Therefore, the company should record gain on this exchange of $8,000
