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kirill [66]
3 years ago
14

Russell Enterprises acquired a franchise from Michael Incorporated for $300,000. The franchise agreement is for a period of six

years. Russell uses straight-line to amortize all intangible assets. What would be the reported book value of the franchise two years after the purchase
Business
1 answer:
Alexeev081 [22]3 years ago
5 0

Answer:

The reported book value of the franchise will be $200000

Explanation:

An intangible asset is an asset that lacks a physical substance. The value of an intangible asset is amortized just as the value of a tangible/physical asset is depreciated.

The straight line amortization charges a constant amortization expense through out the expected useful life of the intangible asset.

The formula to calculate the straight line amortization per year is,

Amortization expense per year = Cost / Expected Useful life

Amortization expense per year = 300000 / 6    = $50000 per year

The book value of an asset is the value after deducting the accumulated depreciation/amortization from the cost.

Book value = cost - accumulated depreciation or amortization

Book value = 300000 - (50000 * 2)     = $200000

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If your superior tells you that they will offer you a raise if you perform additional work beyond the requirements of your job,
Basile [38]

Answer:

Legitimate power.

Explanation:

Legitimate power is the type of one that is exercised by someone in a position of authority in the workplace.

The leader gives instructions based on his official office or title in the organisation.

I'm the given scenario where your superior tells you that they will offer you a raise if you perform additional work beyond the requirements of your job, he is stating conditions got a pay raise based on his position as your supervisor

7 0
3 years ago
Read 2 more answers
How can residential interior and architectural design contribute towards housing evolution(s)?
Ne4ueva [31]

Answer: Residential interior and architectural design contribute towards housing evolution by building and designing the houses.

<u>Explanation:</u>

Architectures are one who works on the structure of the house. They decide what should be the structure of the house. But the residential interior designers, on the other hand, look after the interior of the house. They decorate the house from inside.

Both of them play a very important role in housing evolution. Houses have developed a lot due to the work done by interiors and architectures. Today a large number of houses are seen in urban areas with all the modern amenities.

6 0
3 years ago
McBride’s Dairy has 200 gallons of cream and 600 gallons of skimmed milk and has incurred $1,000 of joint costs at the split-off
PtichkaEL [24]
Uhh I think C idk really
8 0
3 years ago
In 1895, the winner of a competition was paid $150. In 2006, the winner's prize was $70,000. What will the winner's prize be in
Jobisdone [24]

Answer:

the price will grow to $ 507,571.77 If it continues with the same grow rate

Explanation:

first we solve for the rate:

2006 - 1895 = 111 years

Nominal (1+r)^{n} = FV\\150 (1+r)^{111} = 70,000\\\\r = \sqrt[111]{70,000 / 150 } -1

r =  0.06  

Now we apply this rate for the year 2040:

2040 - 2006 = 34 years

Principal \: (1+ r)^{time} = Amount

Principal 70,000.00

time 34.00

rate 0.06000

70000 \: (1+ 0.06)^{34} = Amount

Amount 507,571.77

6 0
3 years ago
M8-1 Evaluating the Decision to Extend Credit [LO 8-1 Nutty Productions Inc. generated service revenue of $48,000 and income fro
emmasim [6.3K]

Answer:

Yes

Explanation:

In this question, we have to compare the total income based on credit extended The computation is shown below:

If credit is not extended, then the total income would be

= Service revenue + income from operations

= $48,000 + $19,000

= $67,000

If credit is extended, then the total income would be

= Service revenue + income from operations - additional expenses for wages and bad debts

= $87,000 + $19,000 - $34,000

= $72,000

Yes the company extend credit as the total income is increased by $5,000

7 0
3 years ago
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