Answer: A hire purchase is a system by which one pays for a thing in regular instalmentsinstallments while having the use of it.
A credit sale is a purchases made by customers for which payment is delayed.
Answer:
$48 million
Explanation:
In this scenario, we compare the values between book value including goodwill and the fair value of machinery, the difference would be the loss on impairment of the asset
In mathematically,
= Book value including goodwill - fair value
= $450 million - $402 million
= $48 million
All other information which is given is not relevant. Hence, ignored it
Answer:
line
Explanation:
hope this helps have a nice
Answer:
Annual depreciation= $189,600
Explanation:
Giving the following information:
On January 1, 2017, anodel, Inc. acquired a machine for 1,010,000. the estimated useful life of the asset is five years. residual value at the end of five years is estimated to be 62000.
Annual depreciation= (original cost - salvage value)/estimated life (years)
Annual depreciation= (1,010,000 - 62,000)/5= $189,600
Answer:
See below
Explanation:
First, we need to get the predetermined rate
Predetermined rate = Cost of manufacturing overhead / Cost driver
= $1,800,000/60,000
= $30
We will now calculate the application.
Actual labor hours × rate
= 61,500 × $30
= $1,845,000
We will now compare actual with overhead cost
= Applied Overhead cost - Actual manufacturing overhead
= $1,845,000 - $1,810,000
= $35,000
The above is an over application of overhead cost because the cost applied exceed the actual cost.
