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):

image text in transcribed

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.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Financial Accounting

ISBN: 9780133118209

2nd Edition

Authors: Charles T. Horngren, Jr. Harrison, Walter T.

Question Posted: