How much is the carrying value of the airport land rights

Assignment Help Financial Accounting
Reference no: EM132888811

The airport land rights were given to Delta Air Lines on June. 30,2020. On that date, the rights were valued at 12,000,000. The agreement gives the entity 30 years over those rights. The entity incurred equipment rearrangement costs as result of these rights. As of Dec. 31, 2020, the fair value of the rights significantly declined to 7,000,000 but Delta Air Lines sees an acceptable level of profits in the coming years.

Problem 1: If the asset was recorded at fair value, how much is the carrying value of the airport land rights as of December 31, 2020? Solutions must be in good accounting form.

Reference no: EM132888811

Questions Cloud

What does guy standing mean by the term the precariat : What does Guy Standing mean by the term, 'the Precariat'? Why, according to Standing, is the Precariat growing?
Prepare the journal entries to record the interest payments : Prepare the journal entries to record the interest payments on June 30, 2019, and December 31, 2019, using both methods
CI7230 Modelling Enterprise Architectures Assignment : CI7230 Modelling Enterprise Architectures Assignment Help and Solution, Kingston University London - Assessment Writing Service
Design of an appropriate risk and crisis management : Q: Critically evaluate the roles that HRM can assist in the design of an appropriate risk and crisis management.
How much is the carrying value of the airport land rights : If the asset was recorded at fair value, how much is the carrying value of the airport land rights as of December 31, 2020? Solutions must be in good
Prepare the journal entries to record sale of the bonds : Taylor Company issued $100,000 of 13% bonds on January 1, 2019. Prepare the journal entries to record sale of the bonds
Describe the four japanese terms used in tqm : Describe the four Japanese terms used in tqm and give an example of how they might apply to a particular product
Regarding social security policy : Regarding Social Security policy, data was presented regarding the impact of the program on moving senior citizens and others out of poverty.
Which internal control procedure needs strengthening : Which internal control procedure needs strengthening? At Hofstra Services, the junior accountant collects cheques and cash from customers.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Determining the inventory balance for badger to report

Determining the inventory balance for Badger to report in its 12/31/2022 balance sheet. On January 1, 2021, Badger Inc. adopted the dollar-value LIFO method

  Company will report how much? short-term liability

?Martin, Inc. is preparing its financial statements for December? 31, 2016. Martin has a? $2,000,000 short-term note that is due in? June, 2017. Due to an existing?long-term line of credit for? $1,500,.000, the company will report how much? short-ter..

  What annual pension benefit will receive

What annual pension benefit will he receive when he retires after 20 years of service? Justin belongs to an integrated defined-benefit pension plan

  How do compute the unit costs for materials costs

How do Compute the unit costs for materials costs? Production costs chargeable to the Sanding Department in July for Recycled Art are $30,000

  What a physical inventory refers to

What A physical inventory refers to? inventory that is tangible as opposed to intangible./manufactured as opposed to purchased inventory.

  Prepare the journal entries related to fair value adjustment

Prepare the journal entries related to the fair value adjustment for the bonds on 31 December 2019 assuming these bonds are classified as financial assets

  Discuss at least two capital budgeting techniques

Discuss at least two capital budgeting techniques Net Present Value and Accounting Rate of Return and how your company can benefit from the use of these tools.

  Pre-contribution balance sheets and fair valuesjune 30

pre-contribution balance sheets and fair valuesjune 30 20x9in thousands of

  What are the black-scholes prices of the call and put option

A stock is currently trading for $24. European call and put options with strike of $25 will expire in 125 days. What are Black-Scholes prices of the call option

  What the depletion expense for weber company is

The estimated residual value of the property is $80,000. During 2009, the company extracted and sold 4,000 tons of ore. The depletion expense for 2009 is

  Determine the monthly break-even

Determine the monthly break-even in either unit or total dollar sales. Show your work!

  What balance sheet as additional paid-in capital was

?0.50 per share on December 31, 2018. The amount reported on Martin Corporation's December 31, 2018, balance sheet as additional paid-in capital was?

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd