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Accounting-1A Questions
Accounting-1A Questions
Certain account balances follow for Novak Corp., which follows ASPE:
Assume that Blue Spruce Inc. decided to sell DemandTV Ltd., a subsidiary, on September 30, 2020. There is a formal plan to dispose of the business component, and the sale qualifies for discontinued operations treatment. Pertinent data on the operations of
Bramble Company Limited reported the following for 2020: sales revenue, $1.15 million; cost of goods sold, $718,750; selling and administrative expenses, $348,000; gain on disposal of building, $301,000; and unrealized gain-OCI (related to FV-OCI equity i
Marigold Corporation had net sales revenue of $5,820,000 and investment revenue of $229,000 for the year ended December 31, 2020. Other items pertaining to 2020 were as follows
On January 1, 2020, Concord Corporation had cash and common shares of $80,000. At that date, the company had no other asset, liability, or shareholders’ equity balances. On January 2, 2020, Concord Corporation paid $60,000 cash for equity securities that
Cullumber Tooling Ltd. is assessing two available options for the purchase of new equipment with a negotiated cash price of $160,000. The manufacturer is willing to accept a down payment of 20% of the purchase price and an instalment note for the balance.
As CFO of a small manufacturing firm, you have been asked to determine the best financing for the purchase of a new piece of equipment. The vendor is offering repayment options of $9,300 at the end of each year for five years, or no payment for two years
Cullumber Tooling Ltd. is assessing two available options for the purchase of new equipment with a negotiated cash price of $160,000. The manufacturer is willing to accept a down payment of 20% of the purchase price and an instalment note for the balance.
Cullumber Tooling Ltd. is assessing two available options for the purchase of new equipment with a negotiated cash price of $160,000. The manufacturer is willing to accept a down payment of 20% of the purchase price and an instalment note for the balance.
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