The cost basis recorded in the buyer's accounting records to recognize the purchase is
Cash paid | 34,339 |
Note payable issued | 23,949 |
Mortgage | 59,172 |
Total Cost basis to be recorded | $117,460 |
.
Option D
A building with an appraisal value of $132,266 is made available at an offer price of...
A building with an appraisal value of $131,089 is made available at an offer price of $151,651. The purchaser acquires the property for $36,725 in cash, a 90-day note payable for $20,835, and a mortgage amounting to $57,586. The cost basis recorded in the buyer's accounting records to recognize this purchase is
3. A building with an appraisal value of $135,757 is made available at an offer price of $158,563. The purchaser acquires the property for $34,867 in cash, a 90-day note payable for $23,496, and a mortgage amounting to $58,384. The cost basis recorded in the buyer's accounting records to recognize this purchase is a.$158,563 b.$135,757 c.$123,696 d.$116,747 4. A machine with a cost of $135,000 has an estimated residual value of $15,000 and an estimated life of 6 years or...
ID: A 9. A 60-day, 10% note for $9,000, dated the note is We note for $9.000, dated April 15, is received from a customer on account. The face value of a. $9.850 b. $7,200 c. $9.900 $9,000 A 60-day, 12% note for $10.000 dated May is received from a customer on account. The maturity value of the note is a. $10,000 b. S10,200 c. $200 d. $9,800 10. 11. The number of days' sales in receivables a. is an...
1. Notes may be issued a. to creditors to temporarily satisfy an account payable created earlier b. when borrowing money c. when assets are purchased d. for all of these 2. On June 1, Davis Inc. issued an $60,800, 8%, 120-day note payable to Garcia Company Assume that the fiscal year of Garcia ends June 30. Using a 360-day year in your calculations, what is the amount of interest revenue recognized by Garcia in the following year? When required, round...
Use this information for Harris Company to answer the following questions Assuming no employees are subject to ceilings for their earnings. Harris Company has the following information for the pay period of January 15-31 Gross payroll Social security rate Medicare rate SI0.000 6.0% 1.5% Federal income tax withheld Federal unemployment tax rate State unemployment tax rate SI SOO OS _1. Salaries Payable would be recorded for a. $8,200 b. $6,830 c. 58,630 d. 57,450 2. A pension plan that promises...
1. Machinery was purchased on January 1 for $73,500.00. The machinery has an estimated life of seven years and an estimated salvage value of $9,000. Double-declining-balance depreciation for the second year would be (round calculations to the nearest dollar): a.$16,000 b.$15,000 c.$14,500 d.$14,000 2. A machine with a cost of $52,300 has an estimated residual value of $3,262 and an estimated life of 5 years or 17,412 hours. What is the amount of depreciation for the second full year, using...
Nevada Corporation has 63,200 shares of $26 par stock outstanding that has a current market value of $158. If the corporation issues a 5-for-1 stock split, the number of shares outstanding will be Oa 821,600 Ob. 316,000 Oc. 63,200 Od. 252,800 When Wisconsin Corporation was formed on January 1, the corporate charter provided for 98,000 shares of $10 par value common stock. During its first month of operation, the corporation issued 8,340 shares of stock at a price of $22...
QUESTION 6 Merle Company operates a skateboard repair shop near USC. Merle purchased this business on January 1, Year 1, at a cost of $28,000. [$ values in thousands for ease of expression.] This price included the land, building and equipment. Merle started operations on August 1, Year 1. The cost basis of the land was properly determined to be $12,000. The cost basis of the building and equipment were properly determined to be $11,000 and $5,000, respectively. Merle properly uses the double-declining balance depreciation method...
Yukon territorial government entered into an agreement with HEMI to open a warehouse in Whitehorse. The agreement required the Yukon territorial government to prepay $10,000,000 for future equipment purchases and to buy all of its equipment from HEMI over the next 5 years. The government also agreed to only use $9,000,000 of the prepayment (i.e., give HEMI a “breakage” ifequipment is supplied from the Whitehorse warehouse). In 2019, HEMI supplied $1,800,000 of equipment from its Whitehorse warehouse. The Unearned Revenues...
A manufacturing company's weekly payroll is $80,000 for a 5-day work week beginning each Monday and ending each Friday. The last time salaries and wages were recorded was Friday, December 26. What adjustment is needed on December 31, the last day of the company's fiscal period? a. No adjustment is necessary since the next payday will not occur until the following year. Ob. Decrease cash by $48,000. c. Increase wages expense by $48,000. Od. Decrease wages payable by $48,000. Klinc...