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
Lemur [1.5K]
4 years ago
14

Omega Corp. has entered into a transaction with Lively Inc. Omega Corp will give its equipment to Lively Inc. in exchange for Li

vely's equipment. Omega Corp will also pay Lively Inc. $30,000 cash. Omega Corp's equipment originally cost $250,000 when it was purchased 2 years ago and currently has $80,000 of accumulated depreciation and an estimated fair value of $230,000. Lively's equipment has a cost of $212,000 and accumulated depreciation of $35,000. The fair value of Lively Inc's equipment is determined to be $260,000.
Required:

A. Prepare the journal entry for Omega Corp assuming the exchange has commercial substance.
B. Prepare the journal entry for Omega Corp assuming the exchange lacks commercial substance.
Business
1 answer:
Nadusha1986 [10]4 years ago
7 0

Answer:

Explanation:

A.

Equipment-from Lively    $260,000

   Accumulated Depreciation  Dr.$80,000

   Equipment-old                      Cr. $250,000

    Cash                                      Cr.$30,000

       Gain on Exchange                Cr.$60,000

B.    

Equipment-from Lively (212,000-35,000)      Dr.$177,000

Accumulated Depreciation                             Dr.$80,000

Loss on exchange (balancing figure)            Dr.$23,000

Equipment old                                                  Cr.$250,000

Cash                                                                   Cr.$30,000                                

You might be interested in
when a firm charges a fee for the right to purchase a product plus a per-unit charge for each unit purchased, what type of prici
VashaNatasha [74]

when a firm charges a fee for the right to purchase a product plus a per-unit charge for each unit purchased, a two-part pricing strategy is a firm employs.

Definition: A product is an item offered for sale. Products are services or items. It can be in physical or virtual or cyber form. All products are made at a price and sold at a price. The price charged varies by market, quality, marketing, and target segment.

A product is an item or service sold to satisfy a customer's needs or desires. they are physical or virtual. Physical products include durable goods (such as cars, furniture, and computers) and consumables (such as food and beverages).

Learn more about the product  here

brainly.com/question/25922327

#SPJ4

3 0
2 years ago
Critical Chain Project Management (CCPM) attempts to keep the most highly demanded resource busy on critical chain activities, b
abruzzese [7]

Answer:

True

Explanation:

Critical-Chain

This was introduced or originated by Eli Goldratt in 1997. Its aim is to challenges conventional project management approaches and absolute dependence on TOC principles. The idea of what to change or eliminated is the largely rooted behaviors that is common with the traditional project management practices. It is very multitasking anf it is the longest string of reliance that occur on the project.

Critical- Chain Approach

This approach simply covers project network as it ca be limited by both resource and technical reliance/dependencies. each type of limitations can create task reliance.

The Summary of Critical Chain Approach

1.) use Aggressive but Possible Times (ABPT) for task durations

2.) identify the critical chain by accounting for resource dependencies

3.) use buffer management to track project progress etc.

3 0
3 years ago
Carroll City levies $200,000 of property taxes for its current fiscal year. One percent of the tax levy is expected to be uncoll
Ivahew [28]

Answer:

$198,000

Explanation:

Following amount of property tax revenues should the city report in the government-wide financial statements for the current fiscal year

During the year collection =  $170,000

During the first two months of the following year =  $25,000

Prior year taxes =  $3,000

Total = $170,000 + $25,000 + $3,000 = $198,000

6 0
4 years ago
As a measure of economic welfare, gross domestic product underestimates a country's production of goods and services when there
Ronch [10]

Answer:

is a measure of the overall economic output ... The GDP refers to the value of goods and services that the country produces. ... GDP is not adjusted for crime and other social problems (ex: increases in crime ... real GDP omits household production and it underestimates the value

7 0
3 years ago
A company's beginning Equipment account is $100,000. It purchased $10,000 of new equipment and sold $4,000 of its equipment duri
tankabanditka [31]

The company's ending Equipment balance equals a $106,000 balance.

<h3>Ending Equipment balance</h3>

Using this formula

Ending Equipment balance= Beginning Equipment balance+New equipment- Ending Equipment balance

Where:

Beginning Equipment balance=$100,000

New equipment=$10,000

Ending Equipment balance=$4,000

Let plug in the formula

Ending Equipment balance=$100,000+$10,000-$4,000

Ending Equipment balance=$106,000

Inconclusion the company's ending Equipment balance equals a $106,000 balance.

Learn more about ending Equipment balance here:brainly.com/question/24401217

8 0
3 years ago
Other questions:
  • You just won the TVM Lottery. You will receive $1 million today plus another 10 annual payments that increase by $690,000 per ye
    13·1 answer
  • Access to sensitive or restricted information is controlled' describes which of the key communications and information systems p
    15·2 answers
  • You might have to leave a message when returning a call to an employer. What should you do?
    14·1 answer
  • Del Gato Clinic deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the clo
    12·1 answer
  • How involved the corporation is in the running of a franchise is determined by
    7·2 answers
  • Question 37Gray Company uses the periodic inventory system to account for inventories. Information related to Gray Company's inv
    12·1 answer
  • An investor is deciding between two projects, both of which have an initial cost of £5,000. One project will return £10,000 in t
    13·1 answer
  • Machinery was purchased on January 1 for $51,000. The machinery has an estimated life of 7 years and an estimated salvage value
    6·1 answer
  • QUESTION 3 / 10 What is the first step you should take when you want to open a savings account? A. Review the different savings
    15·1 answer
  • Tam attended Brown University during 2016–2020. She lived at home and was claimed by her parents as a dependent during her entir
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!