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Finger [1]
3 years ago
8

Your company rents computers to local businesses and schools. You have 3,000 computers with a book value of $177,500. As a resul

t of changing technology, your computers are more difficult to rent so you must drastically reduce your rental price, which causes a decrease in estimated future cash flows. The fair value of the computers is estimated to be $116,500 because of their outdated technology. Your company should report an asset impairment loss of:
Business
1 answer:
pantera1 [17]3 years ago
5 0

Answer:

The answer is $61,000

Explanation:

An impairment loss is recognized when the carrying amount of an asset is less than its fair value(prevailing market price).

The difference between the carrying value and fair value is written off. Carrying amount is the cost of acquiring an asset minus any subsequent depreciation and impairment charges.

Impairment Loss = Book Value – Market Value

Impairment Loss = $177,500 - $116,500

Impairment loss is $61,000

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pishuonlain [190]

Answer:

b. $8.3 million

Explanation:

A 2013 court verdict then ordered DePuy to pay plaintiffs <u>$8.3 million</u> in damages.

A Los Angeles´s court have ordered Johnson & Johnson´s DePuy orthopedic department to pay more than $338000 for medical cost and $8 million for pain and suffering to plaintiff Loren Kransky.  As the company has recalled artificial metal hips which was found defective but DePuy did not took any action against fraud or malice. No punitive damage will be paid to the victim.

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2 years ago
Teresa wants to take her firm internationally but is concerned with the ________, which refers to the possibility of higher cost
Kaylis [27]

Answer:

Liabilities of foreignness is the correct answer.

Explanation:

5 0
2 years ago
When serving a lemon drop shot, what do you give the customer?
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3 0
3 years ago
On June 1, 2022, Crane Company was started with an initial investment in the company of $26,000 cash. Here are the assets, liabi
skelet666 [1.2K]

Answer and Explanation:

For preparing the retained earning statement first we have to determine the net income or net loss which is shown below:

= Service revenue - supplies expense - Maintenance and repairs expense - advertising expense - utilities expense - salaries and wages expense

= $7,800 - $1,100 - $690 - $400 - $210 - $1,500

= $3,900

Now the preparation of the retained earning statement is presented below:

                                        Crane Company

                           Retained Earnings Statement

                                 For the month of June

Beginning balance   $             -

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8 0
3 years ago
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