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babymother [125]
2 years ago
12

Crane Corporation acquires a coal mine at a cost of $476,000. Intangible development costs total $119,000. After extraction has

occurred, Crane must restore the property (estimated fair value of the obligation is $95,200), after which it can be sold for $190,400. Crane estimates that 4,760 tons of coal can be extracted. If 833 tons are extracted the first year, prepare the journal entry to record depletion. (I
Business
1 answer:
Alika [10]2 years ago
7 0

Answer:

Dr Depletion expense 87,465

    Cr Accumulated depletion, coal mine 87,465

Explanation:

total depreciable costs = $476,000 + $119,000 + $95,200 - $190,400 = $499,800

depletion rate = $499,800 / 4,760 tons of coal = $105 per ton of coal

depletion expense during year 1 = $105 per ton x 833 tons = $87,465

Depletion expense is similar to depreciation expense, and is primarily used by extracting companies, e.g. mines, oil companies. Accumulated depletion decreases the book value of the asset.

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Identify the type of advertising based on the given scenario.
frutty [35]

Answer:

Direct marketing

Explanation:

In simple words, Direct marketing can be defined as a means to convey an bid, through which companies communicate individually with a pre - specified client and provide a specific answer process. This method is also  regarded, by professionals, as direct reaction advertising. 

Thus, from the above we can conclude that the the company should employee direct marketing tools.

5 0
2 years ago
Suppose, at a given federal funds rate, there is an excess supply of reserves in the federal funds market. If the Fed wants the
astraxan [27]

Answer:

B) sale; decrease

  • If the Fed wants the federal funds rate to stay at that level, then it should undertake an open market <u>SALE</u> of bonds, everything else held constant. If the Fed does nothing, however, the federal funds rate will <u>DECREASE</u>.

Explanation:

The federal funds rate is the rate at which banks make overnight loans to other banks or financial institutions. If the supply of money is too high, then the interest rates will start to decrease.

Money is like any other good, and its price is determined by the supply and demand. The higher the supply, the lower the equilibrium price. The equilibrium price of money is the interest rate.

If the Fed wants to avoid the decrease in the interest rate, it must absorb excess supply of money, and the only way it can do it is by selling bonds.

3 0
2 years ago
Three groups that participate in the process of establishing gaap are users, preparers, and auditors. these groups are represent
Rom4ik [11]

1.) Securities and Exchange Commission-----------USERS


The U.S. Securities and Exchange Commission (SEC) is a independent federal government office in charge of ensuring financial specialists, keeping up reasonable and efficient working of securities showcases and encouraging capital development. It was made by Congress in 1934 as the primary government controller of securities markets. The SEC advances full open revelation, ensures financial specialists against false and manipulative practices in the market, and screens corporate takeover activities in the United States.  

2.) Financial Executives International ------------PREPARERS


Financial Executives International (FEI) is a part service– arranged association situated in Morristown, New Jersey, for senior-level budgetary administrators in organizations in fluctuating sizes, both open and private, and in all ventures. FEI works a different not-for-profit establishment: Financial Executive Research Foundation (FERF), which goes about as a fair-minded budgetary asset for individuals and Foundation supporters.  

FEI was established as the Controllers Institute of America in 1931. The association renamed itself in 1962 to Financial Executives Institute to mirror the development of obligations among budgetary administrators into arrangement making zones. As the worldwide economy kept on developing in the 1960s, the gathering helped shape the International Association of Financial Executives Institutes (IAFEI).  

3.) American Institute of Certified Public Accountants ---------AUDITORS


The American Institute Of Certified Public Accountants (AICPA) is the non-benefit proficient association of ensured open bookkeepers in the United States. The American Institute of Certified Public Accountants was established in 1887, under the name American Association of Public Accountants, keeping in mind the end goal to guarantee that bookkeeping picked up regard as a calling and that it was honed by moral, able experts. The AICPA exists to furnish in excess of 370,000 individuals with the assets, data, and authority to give CPA benefits in the most noteworthy expert way.  

4.) Institute of Management Accountants ----------PREPARERS


Institute of Management Accountants is the overall relationship of bookkeepers and budgetary experts in business. Administration bookkeepers are crucial to the money related strength of associations. They settle on basic choices, protect an organization's trustworthiness, and plan for business sustainability.The advancing part of administration bookkeepers in an evolving world. This exploration region centers around the part of bookkeepers as business accomplices and the transformational part of innovation inside bookkeeping.  

5.) Association of Investment Management and Research ----------USERS


The Association for Investment Management and Research (AIMR) is a global, philanthropic association of in excess of 68,000 speculation professionals and instructors in more than 117 nations. AIMR's main goal is to serve its individuals and financial specialists as a worldwide pioneer in teaching and looking at speculation administrators and examiners and supporting exclusive requirements of expert direct. AIMR's participation is worldwide in degree, and its exercises are around the world. AIMR offers benefits in three general classes: Education through courses and distributions; Professional Conduct and Ethics; and Standards of Practice and Advocacy. Its intentional expert improvement program gives individual tests in light of procedures of the affiliation's numerous meetings and on AIMR's Investment Performance Standards and Ethical Standards of Practice.

5 0
3 years ago
Joe is a single, self-employed individual who owns his own business. During 2019, Joe reported $200,000 gross income and $60,000
Soloha48 [4]

Answer:

Adjusted Gross Income =$ 102,000

Explanation:

Gross Income $ 200,000

Business Expenses $ 60000

Gross income earned from your self-employment $140,000

Less alimony to his former spouse $30000

Less Health Insurance Premium $6000

Less Medicine and Doctor fees $ 2000 (Assuming its under Qualified Medical Expenses)

Adjusted Gross Income =$ 102,000

Since mortgage interest relates to personal home, it is not deductiable.

5 0
3 years ago
Which theorist argues that members of a class are grouped by their value in the commercial marketplace?
Trava [24]
The theorist that is referred above is MAX WEBER. He is the theorist who asserts that class members should be grouped according to their value in the marketplace. Max Weber is a well-known German sociologist, and a prominent figure in sociology. 
4 0
3 years ago
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