Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - On 1 January 20X1, the risks and rewards of ownership of a new Lear jet passed to Flight Bhd. The jet, which is to provide international mobility to the company's most senior executives, cost RM40 million (excluding tax). The company intends keeping the jet until it is obsolete (i.e. 20 years) at which time it is expected to have no residual value. Although the invoice did not provide an analysis of the purchase price, it can reasonably be allocated as follows:
Components
RM
Additional information:
Engines
20,000,000
Estimated useful life 10 years with no residual value
Airframe
14,000,000
Estimated useful life 20 years with no residual value
Furniture and fittings
4,000,000
Estimated useful life 5 years with no residual value
Inspection costs
2,000,000
Such inspections are required by aviation authorities every two years
40,000,000
Additional information: On 30 June 20X2, for reasons of convenience, the company undertook the requisite inspection six months earlier than required by the aviation authorities. The cost of the inspection was RM2 200 000 and the next scheduled inspection is 30 June 20X4.
Required -
1. Compute the amount of depreciation to be expensed by Flight Limited in respect of the jet for the year ended 31 December 20X1.
2. Briefly outline how Flight Bhd shall account for the inspection cost during 20X2, in accordance with MFRS 116 Property, plant and equipment.
Assume that there is NOK10,000,000 salvage value. What is the net present value of this project if the salvage value is incorporated
Determine Why does accountants use this instead of the cash basis of accounting? And also Determine What are some of the benefits of using accrual accounting?
Sam's Bakery has sales of $576,000 with costs of $382,000. Interest expense is $15,000 and depreciation is $31,000. The tax rate is 27%. What is Net Income?
The expansion will cost two million dollars, and is expected to increase operating earnings to $2,100,000. What factors should Turner’s manager and her supervisor, the VP of operations, consider in deciding whether to go forward with the expansio..
Company Z has total assets of £35.5 million and total equity of £24.3 million. How much are Company Z's total liabilities millions of £?
To finance a new line of product,Compute the price of the bond if the required return on the bond is 10% and interest is paid semi-annually.
Which bank would yield the most on a principal of $500.00? What is the dollar amount difference between the two bank accounts?
The co-worker expects it to return $115,000.00 in one year. If your cost of capital is 12.00%, what is the NPV of this investment
Consider a 4-year amortizing loan. You borrow $1,000 initially, and repay it in four equal annual year-end payments. If the interest rate is 10 percent, show that the annual payment is $315.47. Show that the loan balance after 1 year is equal to the ..
Bill Darby started Darby Company on January 1, 2016. The company experienced the following events during its first year of operation:
Calculate Alfonso's net capital gain for the 2017/18 tax year. Determine the Capital Gains - Active Asset reduction and small business rollover.
At the beginning of the year, Lambert Motors issued the three notes described below. Interest is paid at year-end. Prepare the journal entries to record each of the three transactions and the interest expense at the end of the first year for each.
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd