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PLS answer Two independent companies, Bramble Co. and Cullumber Co., are in the home building business. Each owns a tract of land held for development,
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Two independent companies, Bramble Co. and Cullumber Co., are in the home building business. Each owns a tract of land held for development, but each would prefer to build on the other's land. They agree to exchange their land. An appraiser was hired, and from her report and the companies' records, the following information was obtained: Bramble's Land Cullumber's Land Cost and book value $538000 $ 357000 Fair value based upon appraisal 718000 633000 The exchange was made, and based on the difference in appraised fair values, Cullumber paid $ 85000 to Bramble. The exchange lacked commercial substance. The new land should be recorded on Cullumber's books at $ 442000. $ 697000. $ 357000. $ 612000. Vaughn Manufacturing purchased a truck at the beginning of 2020 for $ 110400. The truck is estimated to have a salvage value of $ 3400 and a useful life of 118000 miles. It was driven 21000 miles in 2020 and 29000 miles in 2021. What is the depreciation expense for 2020? $ 19047 O $ 45350 $ 26303 O $ 20253 On January 1, 2020, Marigold Corp. purchased a new machine for $ 4250000. The new machine has an estimated useful life of nine years and the salvage value was estimated to be $ 155000. Depreciation was computed using the sum-of-the-years'-digits method. What amount should be shown in Marigold's balance sheet at December 31, 2021, net of accumulated depreciation, for this machine? $ 2703000 $ 2612000 $ 3431000 $ 4095000 Bonita Industries purchased a depreciable asset for $ 690000 on April 1, 2018. The estimated salvage value is $ 72000, and the estimated useful life is 5 years. The straight-line method is used for depreciation. What is the balance in accumulated depreciation on May 1, 2021 when the asset is sold? $ 244600 O $ 339100 $ 286600 $381100Step by Step Solution
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