Answer:
Missing word <em>"Tax rate is 34 percent"</em>
Date Particulars Debit Credit
Deferred tax asset (884,500*34%) $300,730
Deferred tax benefit $300,730
(To record the deferred tax consequences of the current year NOL)
Deferred tax asset (192,000*34%) $65,280
Deferred tax benefit $65,280
(To record the deferred tax consequences of the depreciation)
Answer:
$960,000
Explanation:
The net realizable value is the total cash that the company will expect to receive from their accounts receivable. The net realizable value (NRV) can be determined by:
NRV = total accounts receivable - allowance for doubtful accounts = $1,000,000 - $40,000 = $960,000
Answer:
A. Strategic business unit
Explanation:
Strategic Business Unit
It is a fully functional unit of a business that has it's own vision and direction. Also called SBU, it is a division (autonomous) of a big corporation that operates as an independent enterprise with responsibilities focused on a particular range of products and services. It is an independently managed unit of a large company, having its own vision, mission and objectives, manager, supervisor whose planning is done separately from other businesses of the company, and also has competitors different from the ones attached to the big corporation itself.
Answer: $2,974.45 million
Explanation:
Cost of goods sold for Year 7 = $2,945 million
Cost of goods sold is expected to increase by 1%.
Cost of goods sold in Year 8 will be:
= 2,945 * (1 + 1%)
= $2,974.45 million
Answer:
The depreciation expense to be recognized for 2019 is $54,400
Explanation:
The company uses straight-line depreciation method, Depreciation Expense each year is calculated by following formula:
Annual Depreciation Expense = (Cost of equipment − Salvage Value )/Useful Life
The high tech equipment was purchased at a cost of $320,000 and has estimated useful life of 5 years, the salvage value of $48,000.
Annual Depreciation Expense = ($320,000 - $48,000)/5 = $54,400
Newman Co. purchased the equipment in January 2019.
The depreciation expense to be recognized for 2019 is $54,400
