What amount of the costs should be capitalized

Assignment Help Accounting Basics
Reference no: EM131774871

Problem - On September 10, 2010, Flint Co. incurred the following costs for one of its printing presses:

Purchase of attachment $55,000

Installation of attachment 5,000

Replacement parts for renovation of press 18,000

Labor and overhead in connection with renovation of press 7,000

Neither the attachment nor the renovation increased the estimated useful life of the press. However, the renovation resulted in significantly increased productivity. What amount of the costs should be capitalized?

$85,000

$78,000

$67,000

$0

Reference no: EM131774871

Questions Cloud

Determine the amount of interest to be capitalized : March 1, 2010, expenditure included land costs of $150, Determine amount of interest to be capitalized in 2010 in relation to the construction of the building
Knowledgeable investing expert : Take a peek, try searching for some "experts" sharing their opinions in articles, discussions, or blogs related to your company of choice. What did you find?
Expected value costs and benefits of tratments : In a comparison of the expected value costs and benefits of two treatments, which of the following is the best explanation of how we define.
Have any of you ever looked at your own finances : Have any of you ever looked at your own finances in this manner?Or looked at your utility bill over time and how it goes up and down from season to season?
What amount of the costs should be capitalized : However, the renovation resulted in significantly increased productivity. What amount of the costs should be capitalized
Important characteristics of a corporation : Group, we will hit on three very important characteristics of a corporation with our ratios; liquidity, solvency, and profitability. Each of these three items
A favorable and unfavorable difference for the two quarters : The sales report is not useful if it shows a favorable and unfavorable difference for the two quarters
What amount of interest revenue that houston should report : What is the amount of interest revenue that Houston should report in its income statement for the year ended December 31, 2011
Define participative budgets : Cablevision has just hired a new director of budgeting, Brian Sweeney, CPA. Research the web and list all the different divisions and businesses

Reviews

Write a Review

Accounting Basics Questions & Answers

  The regular common and preferred dividends were paid

The bonds sold originally at par. Reported net income for 2011 was $350,000 with a 35% tax rate. The regular common and preferred dividends were paid in 2011.

  Forecasts of increasing sales of new homes

In 2012, Jeff Fettig, CEO of Whirlpool, based an optimistic forecast of his company's sales on forecasts of increasing sales of new homes in the United States. Explain why changes in the demand for housing affect Whirlpool's sales.

  Incremental analysis of outsourcing decision selzer amp

incremental analysis of outsourcing decision selzer amp hollinger a legal services firm is considering outsourcing its

  Research paper revenue recognition under u.s

Research Paper, Revenue recognition under U.S. GAAP and IFRS comparison.

  Assuming bsc entered into no other activities during its

business sim corp. bsc issued 1000 shares to kelly in exchange for 12000. bsc borrowed 30000 from the bank promising to

  The offices 4 canon machines are expected to last 6 more

the lansing community college registrars office is considering replacing some canon copiers with faster copiers

  Calculate net cash provided or used by operating activities

Required: Use the above information to calculate the net cash provided or used by operating activities using the indirect method

  What amount of current liabilities is the company reporting

Examine the balance sheet. What amount of current liabilities is the company reporting as of the end of the current accounting period?

  Expected returns and standard deviations of stock

What are the expected returns and standard deviations of stock fund A and B? What is coefficient of correlation between A and B? Tabulate and draw the investment opportunity set of the two risky funds. Use investment proportions for the stock fund ..

  Coordinate incident action plans

As a safety manager, one is called upon to coordinate incident action plans and response plans to deal with situations that arise. The safety manager will use information from various sources such as Material Safety Data Sheets and Preparedness pl..

  The supplies account had a balance

The Supplies account had a balance of $1,200 at the beginning of the month and $1,600 at the end of the month.

  Compute the company plantwide predetermined overhead rate

Harris Fabrics computes its plantwide predetermined overhead rate annually on the basis of direct labor-hours. Compute the company's plantwide overhead rate

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