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
AveGali [126]
3 years ago
7

ABC Inc. recently purchased an equipment. The price negotiated with the seller was $20,000. Aqua also paid sales tax of $2,000 o

n the purchase, maintenance contracts of $2,200 to cover ordinary repairs for the first year of operation, and shipping and preparation costs of $500. At what amount should the equipment be recorded on the balance sheet prior to recording depreciation expense?
a. 24,700
b. 22,000
c. 22,500
d. 26,800
Business
1 answer:
MaRussiya [10]3 years ago
5 0

Answer: $22500

Explanation:

The following information can be gotten from the question:

Price of equipment = $20,000

Sale tax = $2000

Maintenance cost = $2200

Shipping cost = $500

The amount that the equipment should be recorded on the balance sheet prior to recording depreciation expense will be calculated as:

Price = $20000

Add: Sales Tax = $2000

Add: Shipping & Preparation = $500

Price of the equipment before depriciation will then be:

= $20000 + $2000 + $500

= $22500

You might be interested in
The board of directors for tundrapro, inc., is searching for a new ceo. the firm is in need of new direction after suffering sev
larisa86 [58]
The board needs employees who have transformational qualities as well.
7 0
3 years ago
A rent ceiling results in a shortage. As a result, which of the following do you expect? O a black market for apartments whereby
zheka24 [161]

Answer:

The correct answer is: black market for apartments whereby higher rents are obtained through various other charges.

Explanation:

A price ceiling refers to an upper limit fixed for the price of a product or service. A rent ceiling means that rent cannot be charged higher than this limit.  

This rent ceiling would create higher demand and a smaller supply of apartments. This is because of law of demand and law of supply.  

Because of shortage of apartments in the market, a black market will be created where the apartment owners will be able to charge higher rents through other charges.

6 0
3 years ago
Calip Corporation, a merchandising company, reported the following results for October: Sales $427,000 Cost of goods sold (all v
nekit [7.7K]

Answer: $222,800

Explanation:

Given that,

Sales = $427,000

Cost of goods sold (all variable) = $173,400

Total variable selling expense = $21,200

Total fixed selling expense = $18,900

Total variable administrative expense = $9,600

Total fixed administrative expense = $36,300

Variable expenses:

= Cost of goods sold + Variable selling expense + Variable administrative expense

= $173,400 + $21,200 + $9,600

= $204,200

Contribution margin = Sales - Variable expenses

                                  = $427,000 - $204,200  

                                 = $222,800

5 0
3 years ago
Chipman Sofware recently reported the following amounts in its unadjusted trial balance at its year-end:
gregori [183]

Answer:

What is allowance for doubtful debt?

This represents management's estimate of the amount of accounts receivable that will not be paid by customers. They are amount owed by debtors, whose likelihood of collection is not certain.

1 Bad debts expense Dr   ($18,000 × 0.25%)  $45  

              To Allowance for Doubtful Accounts $45

(Being the bad debt expense is recorded)

2.  Bad debts expense $45        

          ($72 - $27)

              To Allowance for Doubtful Accounts   $45

(Being the bad debt expense is recorded)

3 Bad debts expense    $105      

           ($72 + $33)

           To Allowance for Doubtful Accounts $105

(Being the bad debt expense is recorded)

4 Allowance for Doubtful Accounts $15  

           To Accounts Receivable  $15

(Being the allowance for doubtful accounts is recorded)

Learn more about allowance for doubtful debts here : brainly.com/question/25687295

Explanation:

4 0
2 years ago
What is the fau and emergency management department’s campaign slogan?.
Aleks04 [339]

FAU and emergency management department’s campaign slogan is “FAU ALERT” or “ATTENTION FAU”. Read below about the usage of the slogan.

<h3>How does FAU use their slogan?</h3>

“ATTENTION FAU” is only utilised in messaging if an incident has the potential to suspend normal operations or affect life safety and/or destruction of University resources.

Therefore, the slogan is as provided above.

learn more about FAU: brainly.com/question/16054173

#SPJ1

3 0
2 years ago
Other questions:
  • Steven Corporation uses the FIFO method in its process costing system. Department A's beginning work in process inventory consis
    7·1 answer
  • 2 â__________ segmentation is done according to an objective measurable, physical, or other classification attribute of potentia
    11·1 answer
  • If you were analyzing the consumer goods industry, for which kind of company in the industry would the constant growth model wor
    6·1 answer
  • Assume that you have just purchased some shares in an investment company reporting $500 million in assets, $50 million in liabil
    15·1 answer
  • For each separate case, record the necessary adjusting entry. On July 1, Lopez Company paid $1,200 for six months of insurance c
    7·1 answer
  • Derick wants to purchase an existing business in the service industry. However, he does not want to use the traditional sources
    11·2 answers
  • Which of the following is not the type of work done in a support department? c. maintenance work done to keep production machine
    10·1 answer
  • The ________ value of a bond, also called the face amount or face value, is paid at a stated future date, known as the bond's ma
    5·1 answer
  • state courts have ruled that companies can be held liable for __________ if they fail to do adequate background checks. a. decep
    12·1 answer
  • a cash register tape reflected total sales equaling $100, but the cash in the cash register drawer equaled $105. review the stat
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!