Calculate the amounts that are allocated to impairments

Assignment Help Accounting Basics
Reference no: EM133107468

Question - FRUIT AND VEG is a chain of 12 fruit and veg stores. Each FRUIT AND VEG store is classified as its own cash generating unit (CGU). FRUIT AND VEG's accounting department is conducting an impairment review of one of their CGU's. The assets of this particular CGU are detailed below.

Goodwill: R60,000

Property: R200,000

Intangibles: R23,000

Equipment: R25,000

Other: R10,000

The impairment review has revealed that the fair value of the CGU's property is R180,000 and the net assets of the store as a whole is R210,000. Calculate the amounts that are allocated to impairments for "other", "intangibles", "goodwill" and "property".

Reference no: EM133107468

Questions Cloud

Traditional and contemporary approaches of management : What have you learned so far in this module? Please clearly show the knowledge you gained in the lectures/seminars and by studying the literature recommended
Will barry be able to bring a constitutional claim : Barry Beancounter is a tax attorney who is employed by Bad Company, a private-sector employer located in New Jersey. Barry has no individual employment contract
What will the return on equity be : If the return on asset (ROA) is 10%, the pre-tax cost of debt is 8%, and the corporate tax rate is 20%. What will the return on equity (ROE) be
Responsibility for youth homelessness welfare : Does my research question involve a hypothesis or a research question that needs to be tested?
Calculate the amounts that are allocated to impairments : The impairment review has revealed that the fair value of the CGU's property is R180,000. Calculate the amounts that are allocated to impairments
Discuss significance of cultural background : Discuss the significance of cultural background: "It is crucially important to be aware that students from diverse cultural backgrounds bring different ways
What is the company depreciation expense : Last year, Matthias Company had net operating profit after taxes (NOPAT) of $3,000 million. What is the company depreciation expense
Record the entry for exploration costs : Costs were allocated to 5 drilling areas: Area 1: $50,000, Area 2: $25,000, Area 3: $15,000, Area 4: $70,000, Record the entry for exploration costs
The case of deloitte : Among companies that have made major changes in their approach to performance management, the multinational consulting firm Deloitte provides an interesting exa

Reviews

Write a Review

Accounting Basics Questions & Answers

  When should alpine recognize revenue from the sale

On November 6, 2013, Jake Lawson purchased a season ticket. When should Alpine recognize revenue from the sale of its season passes

  What was the final selling price of the golf clubs

In February, a retail shop purchased golf clubs for $464 per set. The original markup was 37% based on cost. What was the final selling price of the golf clubs

  A corporation is trying to determine how long it takes for

a corporation is trying to determine how long it takes for oneproduct to pass through the production process. the

  Discuss estimated cost per cookie using job order costing

Analyze and discuss the major differences you see between the types of costing. Which do you believe is more useful for this business, and why?

  Prepare the statement of stockholders equity

It also reported $50,000 of net income and paid $25,000 as a cash dividend to stockholders. Prepare the statement of stockholders equity

  What is meaning of the term equivalent units of production

Question - What is the meaning of the term equivalent units of Production (EUP)? What trying to determine when the apply EUP

  What is the book value after the second year

n the second year, the popper produced 12,000 buckets of popcorn. What is the book value after the second year on the popcorn popper

  What is the capital expenditure

Priyanka Inc purchased a piece of equipment with a purchase price of $20,000. Additional costs include freight of $400, What is the capital expenditure

  Record the journal entry that Jason will make

The customer was unable to pay and the company treated it as a dishonored note. Record the journal entry that Jason will make for the dishonored note

  How much should pcu report as cash

In its December 31, 2020 statement of financial position, how much should PCU report as cash? PCU Corporation's checkbook balance on December 31, 2020

  What is the percentage of depreciation rate on annual basis

Depreciation is charged on the straight-line method. What is the percentage of depreciation rate on an annual basis

  Compute the cost of goods sold per unit

Job ICU2 required 800 machine hours. If Job ICU2 resulted in 7,000 good shirts, compute the cost of goods sold per unit

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd