Ford Motor Company's comparative balance sheet recently reported these amounts (in millions of dollars): Unamortized special tools
Question:
Ford Motor Company's comparative balance sheet recently reported these amounts (in millions of dollars):
Unamortized special tools refers to the remaining asset balance after amortization expense has been subtracted. Ford uses no accumulated amortization account for special tools.
\section*{Required}
1. There were no disposals of special tools during \(19 \mathrm{X} 1\). Compute the cost of new acquisitions of special tools.
2. Assume that during 19X1 Ford sold land, plant, and equipment for \(\$ 92\) million and that this transaction produced a gain of \(\$ 9\) million. What was the book value of the assets sold?
3. Use the answer to Requirement 2 to compute the cost of land, plant, and equipment acquired during 19X1. For convenience, work with net land, plant, and equipment.
Step by Step Answer:
Financial Accounting
ISBN: 9780133118209
2nd Edition
Authors: Charles T. Horngren, Jr. Harrison, Walter T.