Answer:
He will not pay any depreciation during October.
Explanation:
Depreciation is charged only on building equipment and machinery. It is not accounted for land as land is an asset whose value does not depreciate over the years.
Depreciation for Building A would be zero for the month of october as depreciation is computed from the first of the month of acquisition to the first of the month of disposition.
The depreciation expense will be computed on 1st of November.
False should be the answer
Answer:
$239,060
Explanation:
The computation of the net income distributed to Carr as follows;
<u>
Particulars Carr Mason net income distributed Non-allocated </u>
Net income $442,000
Salary
allowance $42,000 $42,000 $400,000
Interest
on capital $4,410 $10,290 $14,700 $385,300
left amount $192,650 $192,650 $385,300 $0
Net income $239,060
Answer:
$227,500
Explanation:
The computation of the total amount of cash paid is shown below:
Cash paid for insurance premium = Prepaid Insurance at end of the year + Prepaid Insurance recognized - Prepaid Insurance at the beginning of the year
= $61,250 + $218,750 - $52,500
= $227,500
We simply applied the above formula so that the correct amount of cash paid could come with respect to the insurance premium
Answer: The answer is No, because the MB > MC
Explanation:
They are not cleaning up enough because the MB>MC. Therefore, all other options which cut across - Yes, because the MC > MB,
No, because the MB > MC,
Yes, because the MB > MC and
No, because the MC > MB are wrong.
