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
Mademuasel [1]
3 years ago
15

Whispering Winds Company had the following two transactions related to its delivery truck. 1. Paid $250 for an oil change. 2. Pa

id $800 to install a special gear unit, which increases the operating efficiency of the truck.
Business
1 answer:
inessss [21]3 years ago
8 0

Answer:

Journal Entries

Account                                                    Dr.        Cr.

1.

Repair and maintenance Expense       $250

Cash                                                                    $250

2.

Delivery truck                                         $800  

Cash                                                       $800

Explanation:

Property, plant and equipment are reported in the Fixed asset of the balance sheet. These assets are the depreciated. Fixed assets are initially recorded at cost.

Initially the amount capitalized includes the acquisition cost or purchase price and any direct cost incurred to make asset ready to use.

Any cost incurred to improve the efficiency of the asset will also be capitalised. In this question oil change is a routine maintenance cost  needed to operate the asset. Installation of Special gear unit actually improved the efficiency of the asset as a whole. So, it is capitalised.

You might be interested in
A company with 100,000 authorized shares of $4 par common stock issued 40,000 shares at $8. Subsequently, the company declared a
zvonat [6]

Answer:

$8,800

Explanation:

Stock dividend is a type of dividend which is paid in the form of additional shares in the company. It is declared as a ratio or percentage of outstanding shareholding in the company.

Stock Dividend = Numbers of outstanding shares x Stock Dividend percentage

Stock Dividend = 40,000 x 2% = 800 shares

Amount ot be transferred  = 800 x $11 = $8,800

5 0
3 years ago
FCCLA's central focus is on the ________.​
Lana71 [14]

Answer:

variety of youth concerns

6 0
2 years ago
The _____ approach to systems development is a group-based tool for collecting user requirements.
miss Akunina [59]
C. prototyping, does it makes sense now.
8 0
3 years ago
Free contract is the _____.rivalry among sellers to attract customers while lowering costs concept that people may decide what a
creativ13 [48]
Almost positive the answer would be <span>concept that people may decide what agreements they want to enter into</span>
8 0
3 years ago
Read 2 more answers
Suppose you are the Purchasing Manager for a large chain of restaurants in the United States, and you need to make your semiannu
mrs_skeptik [129]

Answer with Explanation:

Requirement 1.

The US import will increase by $1,500,000 due to purchase of indian tea product and this import of tea would result in increase of capital outflow as the Net export particular to importation is negative hence capital outflow is genuine effect.

Requirement 2.

The Net exports can be calculated as under:

Net Exports = Exports - Imports  = 0 - $1,500,000 = - $1,500,000

The US Net Exports would decrease by $1,500,000.

4 0
3 years ago
Other questions:
  • The leontief paradox describes evidence ________. in support of the predictions of the mercantilist theory that the assumptions
    14·1 answer
  • Credit unions are not subject to federal regulations.<br> T/F
    10·2 answers
  • Assuming no direct factory overhead costs (i.e., inventory carry costs) and $3 million dollars in combined promotion and sales b
    9·1 answer
  • Which of the following is an outcome of the General Agreement on Tariffs and Trades​ (GATT) and created global rules of trade be
    11·1 answer
  • If the Fed purchases $50,000 in T-bills from a bank, by how much will the bank's excess reserves increase: a) by $50,000. b) by
    14·1 answer
  • During the month of February, Smiling Moon Inc. had cash receipts of $10,000 and cash disbursements of $7,700. The February 28 c
    7·1 answer
  • Select all that apply. Which of the following items demonstrate poor choices made by private property owners?
    15·2 answers
  • 4) An investor has $60,000 to invest in a $280,000 property. She can obtain either a $220,000 loan at 9.5 percent for 20 years o
    5·1 answer
  • The run-time stack:_______
    6·1 answer
  • Michael’s personal property in his college dorm room is insured by an endorsement on his parents’ homeowners insurance. The dedu
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!