Reference no: EM133077916

Questions -

Q1. On August 1, 2022, Wei Inc. purchased a license with a cost of $4,212,000 and a useful life of 10 years. At December 31, 2024, when the carrying value of the asset was $3,194,100, the company determined that impairment indicators were present. The fair less costs to sell the license was estimated to be $2,954,560. The asset's value-in-use is estimated to be $3,042,000. Wei's 2024 income statement will report Loss on Impairment of?

Q2. Dead Valley Co. leases copying machines from Winsor on January 1, 2021. The lease term is 4 years, non-cancellable, requiring equal rental payment of $23,000 at the beginning of each year. Winsor requires the guaranteed residual value at the end of the lease will be greater than $2,000. However, Dead Valley estimates that the expected residual value of the leased machines will be $1,500. The agreement offers a purchase option. The agreement states that Dead Valley Co. can purchase the leased machine for $400. The fair value of leased machines at the end of the lease term is estimated to be $2,000. Therefore, Dead Valley Co. is reasonably certain that it will exercise this option.

Dead Valley's undiscounted lease payments of the above lease is?

Q3. Hernandez Company has 350,000 shares of $10 par value ordinary shares outstanding. During the year, Hernandez declared a 10% share dividend when the market price of the stock was $30 per share. Four months later Hernandez declared a $0.50 per share cash dividend. As a result of the dividends declared during the year, retained earnings decreased by?

Q4. Loire Corporation purchased 1,600 ordinary shares of Comma Co. for $52,800. During the year, Comma paid a cash dividend of $13 per share. At year-end, Comma shares were selling for $38 per share. Loire Corporation purchased the shares to meet a non-trading regulatory requirement. What amount of total income will Loire Corporation report in its income statement for the year?

Q5. On February 10, 2023, after issuance of its financial statements for 2022, House Company entered into a financing agreement with Lebo Bank, allowing House Company to borrow up to €4,000,000 at any time through 2026. Amounts borrowed under the agreement bear interest at 2% above the bank's prime interest rate and mature two years from the date of loan. House Company presently has €1,500,000 of notes payable with First National Bank maturing March 15, 2023. The company intends to borrow €2,500,000 under the agreement with Lebo and liquidate the notes payable to First National. The agreement with Lebo also requires House to maintain a working capital level of €6,000,000 and prohibits the payment of dividends on ordinary shares without prior approval by Lebo Bank.

From the above information only, the total short-term debt of House Company as of the December 31, 2022 statement of financial position date is?