What is the total gain on sale realized

Assignment Help Financial Accounting
Reference no: EM132968908

Problem 1: Farm owns 70% of the common shares of XL and accounts for its investment using the cost method. In 20X6, Farm purchased equipment from XL for $300,000. The equipment had been purchased by XL for $420,000 in 20X2, had accumulated depreciation of $168,000 and a five-year remaining life at December 31, 20X5. Both companies record a full year of depreciation expense in the year of the purchase and no depreciation in the year of a sale. What is the total gain on sale realized in 20x7

Option 1: $8,000

Option 2: $9,600

Option 3: $48.000

Option 4: Nil

Reference no: EM132968908

Questions Cloud

Calculate the selling price of the thai produced cooking : The Canadian retailer has a profit margin of 150%. Calculate the selling price of the Thai produced cooking pots that the Canadian retailer will charge
Discuss qualitative and quantitative data : Discuss how qualitative and quantitative data can be used to help this hospital improve market share.
What amount of unrealized gain on biological assets : On Lenny's Llamas income statement for the year ending December 31, 2015, what amount of unrealized gain on biological assets will be reported
Describe several paragraphs : The Strategic Perspective describes a number of methods to attract visitors to a business website.
What is the total gain on sale realized : What is the total gain on sale realized in 20x7? Farm owns 70% of the common shares of XL and accounts for its investment using the cost method.
How much is the total loss on realization : After realization of assets, the cash on hand amounts to P 37,500. How much is the total loss on realization? How much did A receive? How much did C receive
Challenging the injunction and undertaking negotiations : Given that First Midwestern sold the underlying drafts and all the associated risk, which party is responsible for challenging the injunction and undertaking ne
Determine the economic order quantity in dozens : The administrative cost involved in handling each purchase order is P100. Determine the Economic Order (EOQ) Quantity in dozens
Compare examples of executive information system : Review and compare TWO examples of Executive Information System (EIS), which cover the features or functions available in the systems. Support your discussion w

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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