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pls help, i got the wrong answer for the following questions Norfolk Southern railroad recently had one of its trains derail in Ohio causing a
pls help, i got the wrong answer for the following questions
Norfolk Southern railroad recently had one of its trains derail in Ohio causing a huge amount of environmental clean-up. Hypothetically, assume that Norfolk Southern must sell its long-term investments to pay for the clean-up. Selected financial data is as follows: Current assets =2,007 Long-term Investments =3,694 Total assets =38,885 Current liabilities =2,649 Total liabilities =26,152 Total Equity =12,733 The current ratio and debt to equity ratio before the sale at 12/31/2022 are Current ratio at 12/31/2022=.758 Debt to Equity ratio at 12/31/2022=2.05 Hypothetically assume that the investments reported at $3,694 are sold at a gain of $2,000 on January 1 , 2023 ? This means that the cash collected was $5,694. What are the new ratios immediately after this hypothetical sale? 1) The current ratio stays the same and the debt to equity ratio decreases to 1.78 . 2) The current ratio increases to 2.9 and the debt to equity ratio decreases to 1.78 . 3) The current ratio increases to 2.9 and the debt to equity ratio increases to 2.5 . 4) The current ratio increases to 1.51 and the debt equity ratio increases to 1.42 . Question 19 0 / 1 point Corporation E acquired a patent worth $900,000. The patent has a useful life of 10 years. After the third year (36 months), it was determined that the patent's value was impaired in the amount of $100,000, over and above the amount of amortization taken during the 36 month period. What is the new monthly amortization (after impairment) for the remainder of the patent's life? Answer: 9,523.81Step by Step Solution
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