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weqwewe [10]
3 years ago
8

Mesquite, Inc. has held-to-maturity debt securities it purchased in 20X1. At December 31, 20X2, the amortized cost basis of the

securities is $220,000 and the fair value of the securities is $208,000. The present value of estimated future cash flows discounted at the original effective interest rate is $210,000. Mesquite, Inc. uses IFRS for its external reporting. What amount of loss, if any, will Mesquite, Inc. report related to these securities for 20X2
Business
1 answer:
BabaBlast [244]3 years ago
5 0

Answer:

"$10,000" is the appropriate solution.

Explanation:

According to the question, the values are:

Future cash flows,

= $2,10,000

Amortization Cost,

= $2,20,000

Now,

The loss amount will be:

=  Future \ Cash \ Flows - Amortization \ Cost

On substituting the given values, we get

=  2,10,000 - 2,20,000

=  10,000

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Wagner Enterprises and Stone Services both disposed of an old asset. When completing the journal entry, Wagner Enterprises inclu
In-s [12.5K]

Answer:

Wagner Enterprises and Stone Services

Disposal of old asset:

It could be that Stone Services exchanged its old asset with a new one with a company.  In that situation, the debit goes to New Equipment, while the credit is to the old Equipment.  Another reason could be that Stone Services sold the old asset on account.  In this situation, the debit goes to the Accounts Receivable account, while the old asset is credited accordingly.

Explanation:

When a company disposes of an old asset, it credits the asset account and transfers the amount to the Sale of Asset account.  The same is done for the accumulated depreciation, in reverse.  When cash is realized from the disposal, the Sale of Asset account is credited, while Cash account is debited.  Then, the difference in the Sale of Asset account will be a gain or a loss, depending on the net book value and the cash realized from the sale.

3 0
3 years ago
Based on the given information, what will be the working capital of the company?
Romashka-Z-Leto [24]

Answer:

$37,000

Explanation:

Working capital indicates the difference between a company's current assets and its current liabilities.

Current assets include such as cash at hand, bank balances, cash equivalents, and inventories. Current liabilities are accounts payable, bills, and short term debts.

in this case,

Current assets include

Inventory    $50,000

Cash at Bank    $ 5,000

prepaid rent    <u>  $5,000</u>

Total current assets <u>$60,000</u>

current liabilities

Notes Payable   $20,000

tax payable       <u>   $3,000</u>

Total current liabilities  <u>   $23,000</u>

Working capital

= $60,000 - $23,000

= $37,000

7 0
2 years ago
What is the role of incentives in the workplace?
Fynjy0 [20]

Answer:

a way to keep workers motivated to do their job to the best of their ability. having something to look forward to.

Explanation:

3 0
3 years ago
Read 2 more answers
Accounts Receivable Analysis A company reports the following: Sales $1,500,000 Average accounts receivable (net) 100,000 Determi
Fudgin [204]

Answer:

A) The account receivables turnover is 15, and B) the number of days sales in receivables is 24.3 days.

Explanation:

A) FORMULA FOR ACCOUNT RECEIVABLES TURNOVER =

NET SALES   /   AVERAGE ACCOUNT RECEIVABLES

Given information -

Net sales = $1500,000

Average account receivables = $100,000

Putting the values in formula -

= $1500,000  /   $100,000

= 15

B) FORMULA FOR NUMBER OF DAYS SALES IN RECEIVABLES =

365 / ACCOUNT RECEIVABLES TURNOVER

= 365 / 15

= 24.3 DAYS

8 0
3 years ago
Tom lives in an apartment where he pays $8,000 a year in rent. Sarah lives in a house that could be rented for $10,000 a year. H
Misha Larkins [42]

Answer:

these housing services contribute to GDP =   $18000

Explanation:

given data

Tom pay rent = $8000

Sarah house  rented = $10,000

solution

housing services contribute to GDP is express as

housing services contribute to GDP = Tom pay rent + Sarah house rented ............1

As GDP include both rent and estimate rent owner occupy home

put here value in equation 1 we get

housing services contribute to GDP =  $8000 + $10000

housing services contribute to GDP =   $18000

5 0
3 years ago
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