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Metlock Sporting Goods Inc. has been experiencing growth in the demand for its products over the ...
Problem 11-8 Culver Sporting Goods Inc. has been experiencing growth the demand for its products over the last several years. The last two Olympic Games greatly increased the retailing consortium entered into an agreement with Culver's Roundball Division to purchase bhpllc and othll around world. As a result, t 5 vears. accessories an increasing basis the next To be able to meet the quantity commitments of this agreement, Culver had to obtain additional manufacturing capacity. A real estate firm located...
The following data relate to the Machinery account of Metlock, Inc. at December 31, 2020. Machinery A B C D Original cost $50,600 $56,100 $88,000 $88,000 Year purchased 2015 2016 2017 2019 Useful life 10 years 15,000 hours 15 years 10 years Salvage value $3,410 $3,300 $5,500 $5,500 Depreciation method Sum-of-the-years'-digits Activity Straight-line Double-declining balance Accum. depr through 2020* $34,320 $38,720 $16,500 $17,600 *In the year an asset is purchased, Metlock, Inc. does not record any depreciation expense on the...
Tamarack Company purchased a plant from one of its suppliers. The $1.000.000 purchase price included the land, a building and factory machinery am negotiate the purchase of the plant. An appraisal showed the too l s for the purchased b 55.000 Property Assessed Value Bud Machinery machinery accounts in Tamara company records Using the assessed value as a guide allocate the total purchase price of the plant to the land buildinn Do not round until your finalan wwersRondanswers to the...
Intermediate Accounting Case Study Depreciation On July 1, 2018, Tulsa Company pays $600,000 to acquire a fully equipped factory. The purchase includes the following assets and information: Assets Appraised value Salvage Value Useful Life Depreciation method Land $160,000 $0 n/a Not depreciated Land Improvements $80,000 $0 10 years Straight-line Building $320,000 $100,000 10 years Double-declining balance Machinery $240,000 $20,000 10,000 units Units-of-production TOTAL $800,000 Allocate the total $800,000 purchase cost among the separate assets based on appraised value....
ABC has the following accounts in the Property, Plant and Equipment (PPE) section of its balance sheet: Land, Buildings, and Equipment. Each non-current asset account has a separate accumulated depreciation contra-account except for Land. ABC uses the historical cost principle to value its fixed assess after acquisition. ABC completed the following transactions in fiscal year 2017. ABC has a fiscal year end of 31st December. 3rd January 2017: ABC exchanged old equipment with accumulated depreciation of €130,000 (cost of acquisition...
ABC has the following accounts in the Property, Plant and Equipment (PPE) section of its balance sheet: Land, Buildings, and Equipment. Each non-current asset account has a separate accumulated depreciation contra-account except for Land. ABC uses the historical cost principle to value its fixed assess after acquisition. ABC completed the following transactions in fiscal year 2017. ABC has a fiscal year end of 31st December. 3rd January 2017: ABC exchanged old equipment with accumulated depreciation of €130,000 (cost of acquisition...
On 1/1/2018, Sam's Sporting Goods has the following account balances 62,000 23,000 2,100 35,200 100,000 Cash Accounts Receivable Allowance for Doubtful Accts Inventory Consists of #3520 urtits @ $10 cost per unit Building A/D Building Accounts Payable Notes Payable (Syr, 6%, interest due every 12/31) Common Stock Retained Earnings 25,000 12,200 50,000 110,000 20,900 220,200 220,200 During the month of January 2018, the following transactions occur: Jan 1: Sell Building for $60,000 cash. Jan 1:Purchase warehouse Equipment with cash $20,000....
The Thompson Corporation, a manufacturer of steel products, began operations on October 1, 2016. The accounting department of Thompson has started the fixed-asset and depreciation schedule presented below. You have been asked to assist in completing this schedule. In addition to ascertaining that the data already on the schedule are correct, you have obtained the following information from the company's records and personnel (FV of S1, PV of S1. EVA of S1. PVA of S1, FVAD of $1 and PVAD...
InnoTech Ltd (IT) is engaged in manufacturing of video game consoles. On 1 October 2016 IT began the construction of a new factory on a piece of freehold land. Costs information relating to the land and factory were as follows during the year ended 31 March 2017: s'ooo Purchase of land on which to build the factory 20,000 Cost of levelling the land prior to beginning construction 850 Cost of materials needed to construct the factory 7.500 Monthly employment costs...
175% declining balance method is (Cost - Accumulated depreciation) x 1.75/useful life. Similar to the double declining balance method (Cost - Accumulated depreciation) x 2/useful life. ACCT:2100 Introduction to Financial Accounting Spring 2018 Chapter 8 Take-Home Quiz Truffle Bakery incurred each of the following transactions during 2017. Truffle uses the Units of-Production Method on all machinery, and the 175% declining balance method on buildings. Round all unit-of-production computations to the nearest $.01 A. On March 1, 2017 Truffle purchased a...