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3 years ago

Susan bought some land. She sold it for $3,000 more than she paid for it. The $3,000 is an example of _____.

Business

1 answer:

JulsSmile [24]3 years ago

8 0

Answer:

-capital gains

Explanation:

Capital gain is a rise in the value of a capital asset (investment or real estate) that gives it a higher worth than the purchase price. The gain is not realized until the asset is sold. A capital gain may be short-term (one year or less) or long-term (more than one year) and must be claimed on income taxes.

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Oaktree Company purchased new equipment and made the following expenditures:

I am Lyosha [343]

Answer:

The Journal entries are as follows:

(1)

Equipment A/c Dr. $71,890

To cash $3,790

To accounts payable $68,100

(To record the purchase of equipment)

Workings:

Equipment value:

= Purchase price + Sales tax + Freight charges for shipment of equipment + Installation of equipment

= 64,000 +4,100 + 890 + 2,900

= $71,890

Cash Paid:

= Freight charges for shipment of equipment + Installation of equipment

= 890 + 2,900

= $3,790

Accounts payable = Purchase price + Sales tax

= 64,000 +4,100

= $68,100

(2)

Prepaid Insurance A/c Dr. $1,090

To cash A/c $1,090

(To record any expenditures not capitalized in the purchase of equipment)

7 0

3 years ago

Builder and Owner agree that Builder will erect a fence for Owner for $1,500. Builder claims that the fence is taking longer tha

artcher [175]

Answer:

Owner owes Builder : B. $2,000.

Explanation:

A Liability is the present obligation of the entity, that arises as a result of past events, the settlement of which is expected to result in a cash outflow from the entity.

Initially, the Owners owes the Builder $,1500

For the fence to be completed on time, an addition of $500 was owed, upon the owner accepting this arrangement.

Thus, the total obligation owing to the Builder is $2,000.

3 0

3 years ago

Which of the following is an example of a relationship with a negative slope?

iren [92.7K]

Answer:

c. More items purchased when prices drop

Explanation:

Lets determine the two variables and their relation in each of the cases.

Quality decreases. Quantity purchased decreases. Both item decreasing is a positive relation and thus would not yield a negative slope.

Spending rises. Income rises. Both items increasing is a positive relation and thus would not yield a negative slope.

Purchases increase. Price decrease. One item increases while the other decreases and thus is a negative relationship with a negative slope.

Qty sold increases. Quality increases. Both items increasing is a positive relation and thus would not yield a negative slope.

Hope that helps.

5 0

3 years ago

Brace Corporation uses direct labor-hours as the cost driver in its normal costing system. Brace budgeted that it would use 21,6

arsen [322]

Answer:

total estimated overhead costs for the period= $515,095.2

Explanation:

<u>First, we need to calculate the allocated overhead:</u>

Under/over applied overhead= real overhead - allocated overhead

20,440 = 506,920 - allocated overhead

allocated overhead= $486,480

<u>Now, we can determine the predetermined overhead rate:</u>

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

486,480= Estimated manufacturing overhead rate*20,400

Estimated manufacturing overhead rate= 486,480/20,400

Estimated manufacturing overhead rate= $23.847 per direct labor hour

<u>Finally, the estimated overhead for the period:</u>

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

23.847= total estimated overhead costs for the period/21,600

total estimated overhead costs for the period= 21,600*23.847

total estimated overhead costs for the period= $515,095.2

4 0

3 years ago

The carrying value of bonds at maturity always equals:.

svetoff [14.1K]

The carrying value of a bonds at the time of maturity will always equals: par value.

<h3>What is Par value?</h3>

Par value can simply be defined as the price of a bond or face value of a bond.

The carrying value of bonds at the time of maturity will always equals par value by adding or lessing the carrying amount or unamortized discount or unamortized premium.

Inconclusion the carrying value of a bonds at the time of maturity will always equals: par value.

Learn more about par value here:brainly.com/question/25765493

8 0

2 years ago