1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Gnesinka [82]
3 years ago
11

the cost of land improvements are capitalized separately from land because land improvements tend to have a useful life.

Business
1 answer:
lisabon 2012 [21]3 years ago
4 0

Land improvements are capitalized separately from Land because land improvements have only a limited useful life.

Land is a special fixed asset which means that:

  • It is purchased for long term use
  • It is not depreciated because it lasts forever

Land improvements on the other hand, will not last forever. They will eventually wear out and need to be replaced. They are therefore capitalized separately from land so that they can be depreciated if need be.

In conclusion, land improvements are capitalized separately from land because they have a limited useful life.

<em>Find out more at brainly.com/question/14436052.</em>

You might be interested in
Moody Farms just paid a dividend of $3.95 on its stock. The growth rate in dividends is expected to be a constant 5 percent per
Amiraneli [1.4K]

Answer:

$81.52

Explanation:

The current share price is the present value of future dividends as well as the present value of the terminal value of dividends beyond year 6 as shown thus:

Current dividend=$3.95

Year 1 dividend=$3.95*(1+5%)=$4.15

Year 2 dividend=$4.15*(1+5%)=$4.36

Year 3 dividend=$4.36*(1+5%)=$4.58

The required rate of return(discount rate) for the dividends in the FIRST 3 years above is 14%

Year 4 dividend=$4.58*(1+5%)=$4.81

Year 5 dividend=$4.81*(1+5%)=$5.05

Year 6 dividend=$5.05*(1+5%)=$5.30

The required rate of return(discount rate) for the dividends in the NEXT 3 years above is 12%

Terminal value of dividend=Year 6 dividend*(1+growth rate)/(rate of return-growth rate)

growth rate=5%

rate of return=10%(rate of return thereafter)

terminal value=$5.30*(1+5%)/(10%-5%)

terminal value=$111.30

current share price=$4.15/(1+14%)+$4.36/(1+14%)^2+$4.58/(1+14%)^3+$4.81/(1+12%)^4+$5.05/(1+12%)^5+$5.30/(1+12%)^6+$111.30/(1+10%)^6

current share price=$81.52

5 0
3 years ago
Refer to the accompanying balance sheet for the First National Bank. Assume the reserve ratio is 15 percent. If a check for $20,
Arlecino [84]
The answer is b $15,000
7 0
3 years ago
When you do a job that needs to be done without being told, you demonstrate _____.
yKpoI14uk [10]
THE ANSWER IS .....
      B.INITIATIVE
5 0
3 years ago
I think it is False but I don't think so
MrRa [10]

That is false. The worker can have what ever diet they think is best for them

3 0
3 years ago
Read 2 more answers
Shawn works 40 hours a week as a store manager. If he made 27040 last year how much was he paid per hour
Klio2033 [76]
First we find out how many weeks are in 1 year:
1 year = 52.1429 weeks

Then we find out how many hours he worked in a year  by multiplying the number of hours he worked by the number of weeks there are in a year:
40 hrs/week x 52.1429 hrs/year = 2,085.716 hrs

Finally we divide:
27,040 dollars/year by 2,085.716 hrs

Afterwards we get 12.964372906, or to make it simpler we would round and get 12.96 dollars/hour

So your answer is $12.96 per hour.
7 0
3 years ago
Other questions:
  • The Clifford Corporation has announced a rights offer to raise $10 million for a new journal, the Journal of Financial Excess. T
    7·1 answer
  • Explain the difference between imports and exports.
    14·1 answer
  • Brian invests $11,500, at 6% interest, compounded semiannually for 2 years. Manually calculate the compound amount (in $) for hi
    7·1 answer
  • Unlike niche-oriented shopping bots, broad-based shopping bots:​ select one:
    12·1 answer
  • Fixed costs included in this income statement are $2,000 for meal production and $400 for administrative costs. Maria has receiv
    9·1 answer
  • Your brother, who is prone to bearing substantial risk, suggests that you buy a security for $10,000 that promises to pay you $1
    10·1 answer
  • When a government collects more revenue in one year than it spends, there is a budget?
    14·1 answer
  • Which are employed by a service firm and assigned to work at a business or an organization
    6·1 answer
  • Ivan and Olga own a duplex. They collect the rents and make repairs to the property when necessary. That is, they are active par
    14·1 answer
  • Since oligopolies can lead to either good or bad market outcomes, it is important to understand what strategic decisions firms w
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!