What is the term given to the allocation of costs of intangible assets What is the term given to the periodic allocation of costs or wear and tear of tangible assets What is the term given to the acquisition cost less accumulated depreciation What is considered the best and most accurate method of inventory valuation What is the term given to the allocation of costs of natural resources What is the term given to the value that an asset is expected to have at the end of its useful life AAMI Funeral Home purchases a limo for $40,000 The salvage value is $10,000 and it has a useful life of 5 years What is the annual depreciation expense using the straight line method of depreciation AAMI purchases an embalming machine expected to be used for 10,000 bodies They purchased it for $6,000 It has a salvage value of $1,000 What is the depreciation expense per body using the units of output method Using information from 8, what is the depreciation expense in year 1 if 200 bodies were embalmed Using information from 8, what is the depreciation expense in year 2 if 600 bodies were embalmed Please use the below information to answer questions 11 20 Inventory Date Amounts of Caskets Purchased Cost of Casket 10 Jun 2 $ 500 11 Jun 3 $ 600 12 Jun 3 $ 800 13 Jun 2 $ 900 Each casket will be sold for $1,200 What is the weighted average cost per casket for the above inventory Using this weighted average, if you sold 3 caskets, what is your gross profit Using this weighted average, if you sold 2 caskets, what is your CGS Assume LIFO for the following questions, 14 19 If you sold 3 caskets, what is your cost of goods sold If you sold 3 caskets, what is your gross profit If you sold 3 caskets, what is your ending inventory If you sold 1 casket, what is your cost of goods sold If you sold 1 casket, what is your gross profit If you sold 1 casket, what is your ending inventory Assume FIFO for the following questions, 20 25 If you sold 3 caskets, what is your cost of goods sold If you sold 3 caskets, what is your gross profit If you sold 3 caskets, what is your ending inventory If you sold 1 casket, what is your cost of goods sold If you sold 1 casket, what is your gross profit If you sold 1 casket, what is your ending inventory 26 If you purchased a limousine for $50,000 and decided to depreciate it using the declining balance method, what would your salvage value be after 5 years Use a chart to display numbers if it helps Hint Declining Balance Method assumes a rate of 40 27 If you purchased a limousine for $50,000 and decided to depreciate it using the sum of the years digits method, what would your depreciation expense be each year if the useful life was 5 years and the salvage value was $5,000

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Aug 30, 2024

What is the term given to the allocation of costs of intangible assets? What is the term given to the periodic allocation of costs or

What is the term given to the allocation of costs of intangible assets?
What is the term given to the periodic allocation of costs or wear and tear of tangible assets?
What is the term given to the acquisition cost less accumulated depreciation?
What is considered the best and most accurate method of inventory valuation?
What is the term given to the allocation of costs of natural resources?
What is the term given to the value that an asset is expected to have at the end of its useful life?
AAMI Funeral Home purchases a limo for $40,000. The salvage value is $10,000 and it has a useful life of 5 years? What is the annual depreciation expense using the straight line method of depreciation?
AAMI purchases an embalming machine expected to be used for 10,000 bodies. They purchased it for $6,000. It has a salvage value of $1,000. What is the depreciation expense per body using the units of output method?
Using information from #8, what is the depreciation expense in year 1 if 200 bodies were embalmed?
Using information from #8, what is the depreciation expense in year 2 if 600 bodies were embalmed?

Please use the below information to answer questions 11-20.

Inventory

Date	Amounts of Caskets Purchased	Cost of Casket
10-Jun	2	$ 500
11-Jun	3	$ 600
12-Jun	3	$ 800
13-Jun	2	$ 900

Each casket will be sold for $1,200.

What is the weighted average cost per casket for the above inventory?
Using this weighted average, if you sold 3 caskets, what is your gross profit?
Using this weighted average, if you sold 2 caskets, what is your CGS?

Assume LIFO for the following questions, 14-19

If you sold 3 caskets, what is your cost of goods sold?
If you sold 3 caskets, what is your gross profit?
If you sold 3 caskets, what is your ending inventory?
If you sold 1 casket, what is your cost of goods sold?
If you sold 1 casket, what is your gross profit
If you sold 1 casket, what is your ending inventory?

Assume FIFO for the following questions, 20-25

If you sold 3 caskets, what is your cost of goods sold?
If you sold 3 caskets, what is your gross profit?
If you sold 3 caskets, what is your ending inventory?
If you sold 1 casket, what is your cost of goods sold?
If you sold 1 casket, what is your gross profit
If you sold 1 casket, what is your ending inventory?

26. If you purchased a limousine for $50,000 and decided to depreciate it using the declining balance method, what would your salvage value be after 5 years? Use a chart to display numbers if it helps.

Hint: Declining Balance Method assumes a rate of 40%.

27. If you purchased a limousine for $50,000 and decided to depreciate it using the sum of the years digits method, what would your depreciation expense be each year if the useful life was 5 years and the salvage value was $5,000?