User Account

All Pages

Determine amount to be capitalized as cost of backhoe

Assignment Help Accounting Basics
Reference no: EM132432263

Question - On September 31, 2015, Sciaritti Landscapings, Corp purchased a new backhoe on a deferred payment basis. Six annual installments of $750,000 each are to be made beginning on August 1, 2016. The market equivalent rate of interest for Sciaritti Landscapings, LLC is 10% per annum. The present value factor of an annuity for six years at 10% is 4.35526 and the future value factor of an annuity for six years at 10% is 7.71561. Sciaritti Landscapings paid installation costs amounting to $42,000. Determine the amount to be capitalized as the cost of the backhoe.

a. $3,266,445.

b. $3,308,445.

c. $5,786,707.

d. $5,828,707.

Reference no: EM132432263

Questions Cloud

Prepare the journal entries for the years : Prepare the journal entries for the years 2018 to 2020 to record income tax expense and the effects of the net operating loss carry forwards
How human beings have been treated : Which, if any, of the three principles from the Belmont Report were violated in the Tuskegee Syphilis Study? How human beings have been treated
Program that inputs the name of a gym member : You own a gym and need a program that inputs the name of a gym member, their original weight in lbs before joining the gym
How human beings have been treated : Which, if any, of the three principles from the Belmont Report were violated in the Tuskegee Syphilis Study? How human beings have been treated
Determine amount to be capitalized as cost of backhoe : Sciaritti Landscapings paid installation costs amounting to $42,000. Determine the amount to be capitalized as the cost of the backhoe
What should one full year of depreciation expense : Automated Audit Company Co. (AACC) purchased land as a factory site for $1,700,000. What should one full year of depreciation expense
What are the outcomes of stars who spoke on women rights : What are the positive and Negative outcomes of Stars who spoke on women rights
Relevance of stars advocacy on women rights : Relevance of stars advocacy on women rights Assignment help and solutions:-What were the relevance of stars advocacy on women rights
Demonstrates critical thinking skills : How you would promote preventive care for this patient and Describe in essay your plan for continuing your education as a life-long learner

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