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3 years ago

how does this affect the balance sheet sale of used equipment with book value of 300,000 for 500,000 cas

Business

1 answer:

Andrei [34K]3 years ago

7 0

Answer:

Cash increases by $500,000

Equipment decreases by $300,000

Profit increases by $200,000

Explanation:

Cash increases by $500,000 because the equipment was exchanged for cash.

The equipment (property,plant and equipment account) decreases by $300,000 because this particular equipment will be removed from PPE account.

Equity increases by $200,000 because there is a profit of $200,000 from the sale.

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Phillis and Trey are married and file a joint tax return. For 2018, they have $4,800 of nonbusiness capital gains, $2,300 of non

nadezda [96]

Answer:

$21,000

Explanation:

NOL, Phillis and Trey's taxable income must be adjusted by:

= Standard deduction - (Interest income + Net non business capital gain)

= $24,000 - [$500 + ($4,800 - $2,300)]

= $24,000 - ($500 + $2,500)

= $24,000 - $3,000

= $21,000

Therefore, the NOL, Phillis and Trey's taxable income must be adjusted by $21,000.

6 0

3 years ago

Kline Construction is an all-equity firm that has projected perpetual EBIT of $320,000. The current cost of equity is 12.3 perce

miskamm [114]

Answer:

$1,879,215.61

Explanation:

Given that,

EBIT = $320,000

Current cost of equity = 12.3%

Tax rate = 40 percent

Value of perpetual bonds = $936,000

Annual coupon rate = 6.5 percent at par

Value of the unlevered firm:

= [EBIT × (1 - Tax rate)] ÷ Current cost of equity

= [$320,000 × (1 - 0.4)] ÷ 0.123

= $192,000 ÷ 0.123

= $1,560,975.61

Value of the levered firm:

= Value of the unlevered firm + (Tax rate × Value of perpetual bonds)

= $1,560,975.61 + (0.34 × $936,000)

= $1,560,975.61 + $318,240

= $1,879,215.61

4 0

4 years ago

What marketing piece identifies a salesperson's credentials and successes?

NemiM [27]

The marketing piece that identifies a salesperson's credentials and successes is Career book.
A salesperson is an individual who sells goods and services to other entities. the successfulness of a salesperson is measure by the amount of sales he or she makes during a given period and how good that person is in persuading individuals to make a purchase. The compensation is dependent on the amount of sales made and a fixed amount.

5 0

3 years ago

If you could vote today who would you vote for Trump/ Biden or someone else. I would vote for someone else.

Xelga [282]

Answer:

Lauren boebert

Explanation:

6 0

3 years ago

8. Matt Wayne has $20,000 to invest and would like to double his money for the purchase of a new truck. Under current market con

Diano4ka-milaya [45]

Answer:

It will take 14 years and 77 days to double the money.

Explanation:

Giving the following information:

Matt Wayne has $20,000 to invest and would like to double his money for the purchase of a new truck. The interest rate is 5 percent.

We need to find the number of years to achieve $40,000. We will use the following variation of the final value formula:

FV= PV*(1+i)^n

Isolating n:

n=[ln(FV/PV)]/ln(1+r)

n= [ln(40,000/20,000)]/ ln(1.05)= 14.21 years

To be more accurate:

0.21*365= 77

It will take 14 years and 77 days to double the money.

5 0

3 years ago