Answer:
To Investment i.e available for sale $18,000
To Gain on sale of an investment $2,000
Explanation:
The journal entry for the sale of the bond is shown below:
Cash Dr $20,000
To Investment i.e available for sale $18,000
To Gain on sale of an investment $2,000
(Being the sale of the bond is recorded)
For recording this we debited the cash as it increased the assets and credited the investment and gain on sale of investment so that the proper posting could be done
Answer:
Check the explanation
Explanation:
According to this given situation in the question above, we will have to put into consideration the average variable cost and the expectation about the price of red delicious apples in the market.
A whole lot of apple farmers did not harvest the apples directly from their trees, due to the fact that their average variable cost is bigger than the price of the apples, which at the end resulted to losses as they couldn’t even cover their average fixed costs. on the other hand, a lot of other apple farmers chose to bulldoze their apple trees, as the price was bigger than their average variable cost and they were hoping for a rise in the apple prices in future, which can lead to a profitable apple farming future.
Answer:
$17,863.11
Explanation:
The carrying amount or net book value of an asset is the difference between the historical cost of the asset and the accumulated depreciation. When an asset is disposed, this carrying amount has to be derecognized and the proceed from the sale recognized. The difference between these two amounts is the gain/loss on disposal.
When the amount received from the disposal of an asset is higher than the carrying value of the asset, the company makes a gain on disposal.
Carrying amount = $274,817.00 - $261,076.15.
= $13,740.85
Gain/(loss) on disposal
= $31,603.96 - $13,740.85
= $17,863.11
Answer:
D. Promises the company makes to the creditor
Explanation:
- A covenants is a promise at the time of indenture or any other sort of the formal debt agreement that the certain activity will or will not be carried out and a certain threshold will be met.
- Thus is a form of conditioning in commerce which stops the buyers for taking any certain decision and they can financial, the information, ownership, and affirmative and the negative or positive covenant.
