Chapter 12 : 1/ As part of the initial investment , a partner contributes office equipment that had cost $20,000 and on which accumulated depreciation of $ 12500 had been recorded . If the partners agree on a valuation of $ 9000 for the equipment , what amount should be debited to the office equipment account? a/ 7500 c/ 12500 b/ 9000 d/ 20000 2/ Chip and Dale agree to form a partnership. Chip is to contribute $50000 in assets and to devote one half time to the partnership. Dale is to contribute 20000 and to devote full time to the partnership. How will Chip and Dale share in the division of net income or net loss? a/ 5:2 c/ 1:1 …show more content…
a/ direct method b/ purchase method c/ reciprocal method d/ indirect method 5/ the net income reported on the income statements for the year was 55000 and depreciation of fixed assets for the year was 22000 . The balances of the current assets and current liability accounts at the beginning and end of the year are shown at the top of the following page? / 740 Chapter 17: 1/ what type of analysis is indicated by the following ? a/ vertical analysis b/ horizontal analysis c/ profitability analysis d/ contribution margin analysis 2/
I decided to do my research on Sony due to the advancement in technology and the competition between companies such as Microsoft, Apple, and Sony. I have been around long enough to know about Sony’s products but the real reason that attracted me to them for this essay is because I actually believe that they are having a negative trend. I am starting to see less Sony items in stores and I haven’t really heard much about them. Whereas companies such as Apple are constantly being talked about and you often see people walking around with some type of apple product in their hands. Today we are going to research Sony through a horizontal analysis and through different ratio analyses. Let’s see what we find!
In response to you requested investigation regarding the property, equipment and intangible asset accounts, we have completed adjustments to the necessary accounts. During the year new office equipment was purchased at a cost of $2,697.50. We will calculate the difference between the accumulated Depreciation of office equipment balance and the office equipment account. We will then include the new office equipment to the balance, and then multiply the new balance by 20 percent using the declining-balance basis:
g. On December 31, 2012, the company completed the work on a contract for an out-of-province company for $7,900 payable by the customer within 30 days. No cash has been collected and no journal entry has been made for this transaction.
year 1 net income would do). Then, its year 2 opening net assets are $276.36,
Part V: Discuss how income and distributions may/will be allocated to Penelope, Mark and John. Profits are shared equally or by percentage ownership if that is how you divide the company ownership.
Student Cases with Solutions to accompany Accounting & Auditing Research: Tools & Strategies (7th edition)
On June 1, Renn’s accounts receivable had a fair value of $155,000. Additionally, Renn’s in-process research and development was estimated to have a fair value of $235,000. All other items were stated at their fair values. On Cline’s June 1 consolidated balance sheet, how much is reported for goodwill?
On January 1, a machine with a useful life of five years and a residual value of $40,000 was purchased for $120,000. What is the depreciation expense for year 2 under the double-declining-balance method of depreciation?
Balance Sheet: Assets, such as Cash and Cash equivalents are up over last year by $20.72 million dollars, whereas Short Term Investments where 0 at the end of 2013 they were slightly up to $1.12 by January 3, 2015. Other Assets shows a drop of $8.26 million dollars, mostly in Property, Plant and Equipment. Based on the 10-K report the balance sheet was in the thousands other web based financial reporting sites show the numbers to be in the millions. Upon further review of the Balance Sheet from the financial website “Watch” the break down in Property, Plant and Equipment shows the biggest difference in the Accumulated Depreciation. (Market Watch) The Vertical Ratio for 2014 Total Current Assets is 3% of the Total Assets and in 2013 was also 3%. The Horizontal Ratio for Total Asset were 37% reflecting a change from 2014 at $212.05 and 2013 $195.61 signaling a significant increase in 2014. The 2015 financial were not completed at the time of this report but the
Turnover | | | | | | Profit (Loss) before Taxation | 7,197 | 5,311 | 4,612 | 3,845 | 3,203 | Net Tangible Assets (Liab.) | 564,204 | 526,829 | 24,123 | 27,480 | 12,555 | Shareholders Funds | 25,421 |
What is the amount of property and equipment on the balance sheet for the two most recent years?
2. At the end of its first year of operations, Matlocke Company has total assets of $2,000,000 and total liabilities of $1,200,000. The owner originally invested $200,000 in the business, but has not made any further investments or taken any withdrawals. What is the first year 's net income for Matlocke Company?
Agree for investments in bonds. GASB standards require all long-term investments, including investments in debt securities, to be reported at fair value on the balance sheet date. All changes in fair value during the period, both realized and unrealized, are reported as revenue in the operating statement.
Under AASB127, the group is required to prepare the consolidation statement when parent entity acquires shares in the subsidiary. There are two parties who own shares in the subsidiary if it’s not a wholly-owned subsidiary consolidation. One is the parent entity while the other is non-controlling interest. Non-controlling interest (NCI) is defined as “the portion of the profit or loss and net assets of a subsidiary attributable to equity interest that are not owned, directly or indirectly through subsidiaries, by the parent” (Leo, et, al. 2009, p. 895).
Sharing of profit among the partners was to be done according to the agreed ratio and vice versa in terms of any losses.