What is the equipment book value on december

Assignment Help Accounting Basics
Reference no: EM133184733

Question - On December 31, 2016, LEONARD COMPANY acquired a piece of equipment from KOTARO Company by issuing a P1,00,000 note, payable in full on December 31, 2020. Leonard's credit rating permits it to borrow funds from its several lines of credit at 10%. The equipment is expected to have a 5-year life and a P150,000 salvage value. The present value of 1 at 10% for 4 periods is 0.68301. What is the equipment's book value on December 31, 2018?

a. P551,767

b. P469,806

c. P491,767

d. P630,000

Reference no: EM133184733

Questions Cloud

How much you should save every month to provide : You also want to provide yourself with £35,000 a year for next 15 years on your return from the world trip. How much you should save every month to provide
Calculate the allocation of impairment loss at june : The recoverable amount of the entity was calculated to be $1,660,000. Calculate the allocation of impairment loss at 30 June 2019
Concept of division of labor : How important is the division of labor to a capitalist economy? What are some examples of division of labor and specialization from your personal experiences?
Previous profession-experience-age-political ideology : Factors in your decision: Race/ Ethnicity/ Gender? Previous profession/ Experience? Age? Political Ideology?
What is the equipment book value on december : The present value of 1 at 10% for 4 periods is 0.68301. What is the equipment's book value on December 31, 2018
How much is the compensation expense : Actual sales for 2022 were P75,000,000. All share options were exercised on January 1, 2023. How much is the compensation expense for 2021
Orange farm-relationship between recession and inflation : Compute the GDP of Orangeland using the final goods approach. Explain the relationship between the recession and inflation?
What is the value of her investment : Emily decided to invest $3,000 annually starting from the end of this year [Year 2022] for the next 17 years, What is the value of her investment
What is the differential cost from the acceptance of offer : Stryker Industries received an offer from an exporter for 24,000 units of product at $16 per unit. What is the differential cost from the acceptance of offer

Reviews

Write a Review

Accounting Basics Questions & Answers

  Prepare supply clubs journal entry to record july and august

Prepare Supply Club's journal entry to record July and August sales. During August, customers redeem 114,000 loyalty points on merchandise.

  What journal entry should dooley company prepare

Dooley Company sent a deposit of? $5,000 to the bank. The bank credited Dooley? Company's checking account for a deposit of? $500.

  Information technology for competitive advantage

Compare each organization's use of information systems to help manage internal operations and to make decisions. Assess how these two organizations use information technology for competitive advantage.

  Find Which a FIFO perpetual inventory system?

Find Which a FIFO perpetual inventory system? assigns the most recent costs to cost of goods sold when goods are sold./ assigns the most recent costs to ending

  What the characteristic of the partnership form of business

What the characteristic of the partnership form of business that can possibly hinder long term planning for the business is the? Voluntary association

  Compute the transaction price of the arrangement

Based on prior approval, Roche determines that it is 85% likely that the drug will gain approval. The transaction price of the arrangement should be

  Determine the double-declining-balance rate

A building acquired at the beginning of the year at a cost of $117,200 has an estimated residual value of $9,400. Determine the double-declining-balance rate

  Why does price discrimination result in higher profits

What conditions are necessary before price discrimination is both possible and profitable? Why does price discrimination result in higher profits?

  Prepare the entry to record returns of merchandise sold

At the end of 2020, Boot Corporation recorded estimated future returns in the amount of $41,000. Prepare the entry to record returns of merchandise sold

  Journalize each of the transactions from Jan - Dec

Oct 29: Purchased land and a building for a single price of $420,000. Journalize each of the transactions from Jan 2nd - Dec 31st

  Write a memo to outline the types of information

Jill Jacobs and Mike Stutz have decided to create a business. They have financing available and have a well-developed business plan.

  How much of his inheritance must he invest

Jack Thompson's lifelong dream is to own his own fishing boat to use in his retirement.

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