Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please send me only final answers A firm purchased a Machine on 1 January 2009 . The Machine has an 8 year life and a

image text in transcribedimage text in transcribed

image text in transcribed

image text in transcribed

please send me only final answers

A firm purchased a Machine on 1 January 2009 . The Machine has an 8 year life and a residual value of $0. The Cost of the Machine was $400,000. The firm uses straight line depreciation and charges depreciation on a monthly basis. The Government gave a Grant for the Machine on 1 January 2009 of $80,000 Using the Deferred Grant Revenue Approach for Accounting for the Grant the extract from the Balance Sheet for Deferred Grant Revenue on 31 December 2013 shows: Select one: a. Current Liability: $20,000; Non-Current Liability: $10,000 b. Current Liability: \$0; Non-Current Liability: $30,000 c. Current Liability: $10,000; Non-Current Liability: $0 d. None of the these answers e. Current Liability: $10,000; Non-Current Liability: $20,000 The expenditures and receipts below are related to land, land improvements and buildings: (i) Payment of Insurance on Construction During Construction: $100 (ii) Payment of Insurance on Building After Construction complete: $200 (iii) Architect's fee for designing building: $300 (iv) Proceeds from salvage of old building which was on the site when we bought it: $60 (v) Payment of security guard's salary after construction is complete: $400 What amount should be capitalized for Buildings on the balance sheet based on this information: Select one: a. $440 b. None of these answers c. $340 d. $400 e. $740

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Susan V. Crosson, Belverd E. Needles

10th edition

1133940595, 978-1133940593

More Books

Students also viewed these Accounting questions

Question

Solve each equation. x 3 - 6x 2 = -8x

Answered: 1 week ago