User Account

All Pages

Does this transaction result in a loss or a gain for company

Assignment Help Accounting Basics
Reference no: EM132760549

Question - Company A exchanged used equipment for another equipment with a fair value of $23,000. The company also received cash of $3,000 in this exchange. The used equipment had a book value of $21,000 and a fair value of $25,500. Using this information, answer the following questions:

Required -

1. Does this transaction result in a loss or a gain for Company A?

2. What amount of loss/gain will the company recognize as a result of this transaction, if any?

Reference no: EM132760549

Questions Cloud

Calculate Legacy post-retirement benefit expense : Assuming Crane follows IFRS, calculate Legacy's 2020 post-retirement benefit expense that will be included in net income
Make any necessary adjustments for depreciation : On October 30, Moon sold out one piece of equipment for $18,700. Make any necessary adjustments for depreciation and amortization at 12/31/2020
How to compute the net present value of the investment : How to compute the net present value of the investment and determine if the project is worthwhile. Cost of equipment overhaul in 5 years $200,000
Prepare journal entries to record the transactions : Common shares, unlimited shares authorized, 23,500 shares issued and outstanding 648,600. Prepare journal entries to record the transactions
Does this transaction result in a loss or a gain for company : Company A exchanged used equipment for another equipment with a fair value of $23,000. Does this transaction result in a loss or a gain for Company A
Functional effectiveness and productivity of organization : Discuss an example where optimal (or improved) organization design resulted in greater functional effectiveness and productivity of an organization.
How much is the cash flow from operating activities : The income statement for the year ended December 31, 2015 showed the following data: Net Income 2,120,000. How much is the cash flow from operating activities
Logistics and transportation : How the phenomenon of time based competition has affected supply chain management (Hint: search the open web for "time-based competition").
Review the uwear and paledenim : The merger is a significant change for both organizations; there is growing anxiety and uncertainty among the employees of both organizations.

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