User Account

All Pages

How much accretion expense will be recorded

Assignment Help Accounting Basics
Reference no: EM132895585

Question - XYZ Inc set up and started a mining operation on April 1 at a cost of $8,186,400. The company is legally required to dismantle and remove the operation at the end of its nine-year useful life. The company estimates that it will cost $716,800 to dismantle and remove the operation at the end of its useful life and that the discount rate to use should be 7.00%. Assume that the discount rate results in a present value factor of 0.54393 at the time of setup and start. (Assume that none of the asset retirement cost relates to production.) How much accretion expense will be recorded for the first fiscal year? The company has a December 31 fiscal year end and follows ASPE.

Reference no: EM132895585

Questions Cloud

What advice do you have for conroy : Curious as to how the improvement would be accomplished, Conroy spoke with Paula Mitchell, the plant manager. What advice do you have for Conroy
Failure of organizations to adapt to consumer buying habits : The specific problem to be addressed is the failure of organizations to adapt to consumer buying habits in the airline industry resulting in a loss of revenue a
Identify a professional code of ethics for profession : Summarize the main points of the code. Demonstrate how the code of ethics can be applied to a specific ethical issue that could arise in that field.
Calculate contribution margin per beater for normal sales : Cisco Pty Ltd manufactures handheld beaters. For the first eight months of 2015, the company reported the following operating results while operating at 80 per
How much accretion expense will be recorded : How much accretion expense will be recorded for the first fiscal year? The company has a December 31 fiscal year end and follows ASPE
Quadrant model and fourteen aspects of organizational design : Assess your organization against Burton and Obel's four-quadrant model and fourteen aspects of organizational design:
What does reliability and validity mean : Indicate that is essential that reliability and validity are put into consideration when research methodology is chosen, what does reliability and validity mean
Compute the normal and abnormal in units for November : Compute the normal and abnormal in units for November, assuming the inspection point is at (a) the 30% stage of completion, (b) the 60% stage of completion
What are the big five personality traits : What you learned, give advice to Gloria on how she can identify and regulate her own emotions so that she can stick with this project, and be successful.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Explain intuitively why the yield to maturity on the 10

you own an oil pipeline that will generate a 52 million cash return over the coming year. the pipelines operating cosr

  How can privacy violations occur

Develop examples of ethical and privacy concerns associated with data supporting business intelligence efforts.How can privacy violations occur

  How would you answer your friend

The CEO of Entitled Ltd. has been focused on increasing the size of the firm and maximizing current profits. Your friend, aware of your expertise in the field of finance, asks you if the CEO's actions are creating an agency problem, and if so, ask..

  Would you expect the deadweight loss due to moral hazard

Would you expect the deadweight loss due to moral hazard to be greater for the elective or non-élective services? Illustrate with a graph 2.

  Write up the transactions in the general ledger

Feb 1 Started business with; £21,500 in the bank account, a van £25,000 and office fixtures £800. Write up the transactions in the general ledger

  What will the balance of the account be after six years

If $10,000 is invested annually in an account with 7% interest compounded yearly, what will the balance of the account be after six years?

  Compute which of the financial statements

Interest on general long-term debt would be recorded as an expenditure in which of the financial statements? Statement of activities.

  Journalize and post the closing entries and complete the

julie molony opened julies maids cleaning service inc. on july 1 2008. during july the company completed the following

  Which manufacturing costs is an indirect manufacturing cost

Which of the following manufacturing costs is an indirect manufacturing cost? memory chips for a microcomputer manufacturer.

  Crane company division b recorded sales of 360000 variable

crane company division b recorded sales of 360000 variable cost of goods sold of 315000 variable selling expenses of

  Cordova company entered into a contract

In January 2010, Cordova Company entered into a contract to acquire a new machine for its factory.

  Why the manager asked for a report showing the sales

Provide a reason to suggest why the manager asked for a report showing the sales and current stock levels for the three products the business sells.

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