User Account

All Pages

Calculate the cost allocation for this basket purchase

Assignment Help Accounting Basics
Reference no: EM133140395

Questions -

Q1. Georgian Auto Body bought a shop from an existing business on June 15 with cash. The purchase includes the land, building and all of the equipment inside. The total price of the purchase was$1 500 000. The fair market value for the land was $800,000. The fair market value for the equipment was $400,000. The fair market value for the building was $600,000.

a. Calculate the cost allocation for this basket purchase based on the fair market values given.

b. Record the journal entry for this purchase.

Q2. On September 12, Olympia Construction trades a truck with the historical cost of $24 ,000 and a fair market value of $18 000 for a cement cutter. The cement cutter belonged to Chi Brothers Construction and had a historical cost of $22 000 and a fair market value of $18 000.

a. Record the transaction for Olympia Construction.

b. Record the transaction for Chi Brothers Construction.

Q3. On July 25, Ahmed Lecaj bought land for his business. The land cost $60 000. To ready the land for use, Ahmed had to pay for landscaping, $40 000; drainage and sewers, $30 000; inspection, $5 000; real estate commission, $10 000; and legal fees, $500. Record the purchase of the land.

Reference no: EM133140395

Questions Cloud

Labour market inclusion of migrant in europe : Labour Market Inclusion of Migrant in Europe - propose a small research design in two different versions. The subject of your planned investigation is Labour
What amortization expense will company a recognize : What depreciation/amortization expense will Company A recognize in connection with these acquired assets at the end of Year One
Prepare the journal entry to record the dishonored note : Assuming the customer failed to pay the notes on December 31, 2022, prepare the journal entry to record the dishonored note
Prepare the necessary journal entry to record transactions : Assuming that the March 1 transaction did not happen, prepare the necessary journal entry to record the above transactions
Calculate the cost allocation for this basket purchase : Georgian Auto Body bought a shop from an existing business on June 15 with cash. Calculate the cost allocation for this basket purchase
Explain in detail the term receivable float : Explain in detail the term receivable float. Explain briefly with your rationale reasoning what are the various ways to avoid receivable float loss
ELEC4100 Electrical Systems Assignment : ELEC4100 Electrical Systems Assignment Help and Solution, University of Newcastle - Assessment Writing Service
Calculate the amount of vat payable by sandra for quarter : Since 1 December 2020, Sandra has paid £120 per month for the lease of office equipment. Calculate the amount of VAT payable by Sandra for quarter
What is the monthly advantage to squish corp : Fixed costs could not be avoided by external purchases. What is the monthly advantage (or disadvantage) to Squish Corp. if the foam is purchased internally

Reviews

Write a Review

Accounting Basics Questions & Answers

  Who is eligible to claim Jenny as a dependent

Jenny, age 14, lives in a household with her father, uncle, and grandmother. Who is eligible to claim Jenny as a dependent on a Federal income tax return

  Calculate break-even for alternative

Estimate amounts used in the calculation of a break-even analysis for each alternative in #1. Calculate break-even for each alternative

  What is the book value of the mine on december

In 2020, 3,000,000 tonnes were extracted from the mine. They were all sold before the end of the year. What is the book value of the mine on December 31, 2020?

  Compute the valuation for the December

Wildhorse Company is preparing the annual financial statements dated December 31, 2020. Compute the valuation for the December 31, 2020

  Determine the interest rate that applies

Ignore daily compounding of interest. Determine the interest rate that applies relative to this amount for the current period

  Societies set benchmarks to guide members via communication

Societies set benchmarks to guide members through communications with one another. Also, however, it is not frequently evident to the stripped eye; organizations have comparative measures administering their activities and capacity to keep workin..

  What accounts and assertions are likely to be affected

What accounts and assertions are likely to be affected? Explain. The discussions with management indicate that there is a risk the client will capitalise

  What amount of owner drawings were made during the month

If owner's equity at October 31 totals $80,000, what amount of owner drawings were made during the month

  Determine the amounts of other comprehensive income

Interest on January 1, 2020, projected benefit obligation 254,200. Determine the amounts of other comprehensive income and comprehensive income for 2020

  What are the subterms

Can someone help me with this!!! what is the procedure. what is the main term. what are the subterms. what codes are listed

  Rocket company produces small gasoline-powered engines for

rocket company produces small gasoline-powered engines for model airplanes. mr. clemens rockets cfo has presented you

  Prepare emma income statement for the year ended december

Emma paid$146000 to her suppliers during the year and at the end of the year she still owed them $14000. Prepare Emma income statement for the year ended

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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