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
Anit [1.1K]
3 years ago
15

On December 31, Strike Company traded in one of its batting cages for another one that has a cost of $500,000. Strike receives a

trade-in allowance of $11,000. The old equipment had an initial cost of $215,000 and has accumulated depreciation of $185,000. Depreciation has been recorded up to the end of the year. The difference will be paid in cash. What is the amount of the gain or loss on this transaction
Business
1 answer:
photoshop1234 [79]3 years ago
4 0

Answer:

the amount of loss is $19,000

Explanation:

The computation of the amount of the gain or loss is shown below:

Old equipment cost is

= Initial cost of the equipment - accumulated depreciation

= $215,000 - $185,000

= $30,000

Now the gain or loss is

= Book value of an equipment - trade in allowance

= $30,000 - $11,000

= $19,000

hence, the amount of loss is $19,000

We simply applied the above formula so that the correct value could come

And, the same is to be considered

You might be interested in
Helen, who is single, is considering purchasing a residence that will provide an $18,000 tax deduction for property taxes and mo
GenaCL600 [577]

Answer:

amount of tax saving is $4320

Explanation:

given data

tax deduction = $18000

marginal tax rate = 24%

effective tax rate = 20%

to find out

amount of tax saving

solution

we know tax saving formula that is

tax saving = tax deduction × marginal tax  ........................1

so now put here all value in equation 1

tax saving = tax deduction × marginal tax

tax saving = 18000 × 24%

tax saving = 18000 × 0.24

tax saving = 4320

so amount of tax saving is $4320

4 0
2 years ago
Sheffield Corp. earned $2120 for architecture services provided with the fee to be paid in the future. No entry was made at the
Kay [80]

Answer:  If the fee has not been paid by the end of the accounting period and no adjusting entry is made, this would cause: "d. revenues to be understated.".

Explanation: The income would be underestimated because the income of $2120 that corresponds to the service provided in the accounting period, must be recognized in the accounting period in which the economic events occur regardless of when the income of the funds occurs (accrual principle).

6 0
3 years ago
A benefit of using a debit or credit card instead of cash is that it provides a paper record of a purchase. A proof of purchase
crimeas [40]
Hey there,

A benefit of using a debit or credit card instead of cash is that it provides a paper record of a purchase. A proof of purchase is often needed in all of the following situations except: Equipment rental
<span>
~Jurgen


</span>
7 0
3 years ago
Read 2 more answers
At December 31, 2022, Pronghorn Corporation reported the following plant assets.
Vesnalui [34]

Answer and Explanation:

The preparation of the plant assets is shown below:-

                                    Plant Assets

                               Partial Balance Sheet

                                 December 31, 2013

Land                                                                        $4,897,200

Buildings                                         $26,630,000  

Less : Accumulated Depreciation $13,904,550   $12,725,450

Equipment                                                               $46,406,800  

Less : Accumulated Depreciation  $9,182,250     $37,224,550

Total Plant Assets                                                    $54,847,200

Note:- Here, Building Details for 2023 are not provided, it will be included in the accumulated depreciation above if available

7 0
3 years ago
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month
andrey2020 [161]
The overall contribution margin ratio can be computed as follows:

Overall CM ratio = Total contribution margin/Total sales

= $141,600/177000= 80%
8 0
3 years ago
Other questions:
  • When making an attribution, dan considers how his roommate has behaved in similar situations in the past. dan is using _______ i
    5·1 answer
  • Sarah, an hr executive, observes that telework or telecommuting has been a rising trend. she considers developing a policy to al
    6·1 answer
  • In its role as money manager, the Federal Reserve has three primary goals: to maintain stable prices (control inflation), ensure
    9·1 answer
  • Taco Hut purchased equipment on May 1, 2018, for $15,000. Residual value at the end of an estimated 8-year service life is expec
    12·1 answer
  • Clem Oatley could grow wheat and barley. He could grow 75 bushels of wheat or 125 bushels of barley using the same resources on
    14·2 answers
  • If Tex's Manufacturing Company purchases the component externally, $20,000 of the fixed costs can be avoided. At what external p
    15·1 answer
  • On which financial statements would you look to find the total costs of merchandise that remains and the total that has been sol
    15·1 answer
  • According to the Keynesian transmission mechanism, if the Fed conducts an open market purchase of government securities, it may
    7·1 answer
  • Assume the firms operating in an oligopolistic market experience a relatively small change in marginal costs. According to the k
    14·1 answer
  • Government regulations help balance negative externalities such as: Multiple Choice No smoking rules enforced to mitigate the ef
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!