User Account

All Pages

Compute the gain to be recorded on the exchange

Assignment Help Accounting Basics
Reference no: EM131760454

Question - A machine cost $600,000, has annual depreciation of $100,000, and has accumulated depreciation of $450,000 on December 31, 2014. On April 1, 2015, when the machine has a fair value of $137,500, it is exchanged for a machine with a fair value of $675,000 and the proper amount of cash is paid. The exchange had commercial substance.

The gain to be recorded on the exchange is

a. $0.

b. $12,500

c. $25,000

d. $75,000

Reference no: EM131760454

Questions Cloud

Describe the primary barriers to entry that limit access : Describe one (1) of the primary barriers to entry that limit access to the global eCommerce marketplace.
International law : What do you feel are the biggest risks a business owner faces? Why? What steps might the business take to limit its liability? Why?
Innovation measurements important to an organization : Why is a set of innovation measurements important to an organization, its leaders, and its employees?
What is the total amount of cash that b company received : What is the total amount of cash that B Company received upon sale of the bonds on March 1, 2020
Compute the gain to be recorded on the exchange : On April 1, 2015, when the machine has a fair value of $137,500, The gain to be recorded on the exchange is
What is the operating cash flow : Costs are $715 and depreciation is $145. The tax rate is 34%. The firm does not have interest expenses. What is the operating cash flow
Name one new innovation in information systems : Name one new innovation in information systems, and explain how it has been used to enhance organizational decision making and collaboration.
What will happen to the book value per share : What will happen to the book value per share, the market value per share, and the EPS. What is the NPV of this investment. Does dilution take place
Prepare in good form the stockholders equity section : Prepare, in good form, the stockholders' equity section after the stock split. No partial credit will be awarded without detailed computations

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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