Reference no: EM13954755
Jerome plc bought a large plot of freehold land for £3,600,000 on which Jerome intends to build a storage depot. The land was bought just before news was released of a new road link, and the neighbouring plot, which is very similar, is now on the market at £4,700,000. Indeed, Jerome has been offered £4,200,000 for its own plot. However, Jerome intends to build on the new plot because it is believed that the present value of future inflows just from the land will amount to at least £5,000,000.
Jerome's only other major asset at the moment is a fleet of delivery lorries, for which a total of £1,300,000 was paid at various times over the past year. Prices of new lorries have not moved significantly since then, but the transport manager esti- mates that the second-hand value of the existing fleet is only about £800,000. More positively, she has estimated the net benefit of the fleet at £1,100,000 in present value terms. The lorries have a useful life of about four years.
(a) Draft the historical cost and deprival value statement of financial positions for Jerome, including depreciation where appropriate.
(b) Assuming Jerome originally recorded all assets on a historical cost basis, but, after preparing the statement of financial position, wishes to revalue them on an undepreciated deprival value basis, show the Revaluation Account.
|
Hexane is nonpolar and water is polar
: Name a solvent for the following to dissolve in (hexane is nonpolar and water is polar): a.Glucose (polar) b.Lard (nonpolar) c.Vegetable oil (nonpolar)
|
|
Integer linear programming
: Company X has seven pending tasks, each of which takes a given number of days to be finished. The amount of time required for each of the tasks are (in days): 10, 8, 6, 5, 4, 4 and 3. There are three employees that can be assigned to any of the tasks..
|
|
A summary that expresses the overall plan
: A summary that expresses the overall plan of the paper, including subtitles and topic sentences for each subtitle provided.
|
|
Probability of stock out for the current reorder point
: The Operations Analyst for a company is studying the inventory stocking policy for a product (#A123). His records show that the demand per day is normally distributed with a mean of 210 and a standard deviation of demand of 5. Lead time is 4 days. Th..
|
|
Deprival value statement of financial positions
: Draft the historical cost and deprival value statement of financial positions for Jerome, including depreciation where appropriate.
|
|
Periodic review inventory system-determine order quantity
: Greg’s Pharmacy uses a periodic review inventory system. Every Friday, the pharmacist reviews her inventory and determines the size of the replenishment order. Determine the order quantity (Q). How many tablets should be ordered if the current invent..
|
|
The predicted pressure using van der walls equation
: When inputting the numbers in the calculator can i also please see how one would input the numbers when solving the predicted pressure using van der walls equation?
|
|
Reporting for non-current assets
: It is conceivable that UK accounting and reporting for non-current assets could be changed to a system based on one of the valuation methods dealt with in this chapter, perhaps deprival value. List three reasons for such a change, and three reason..
|
|
Four- to five-page summary of the main points
: Select two professional and/or scholarly journal articles from the University Library that relate to your Research Paper topic from the Week Two Assignment. Develop a four- to five-page summary of the main points made by the author(s) of each arti..
|