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Which one is the answer Question 13 Not yet answered Marked out of 1.00 A Company borrowed $200,000 at 20% interest from State Bank on
Which one is the answer
Question 13 Not yet answered Marked out of 1.00 A Company borrowed $200,000 at 20% interest from State Bank on Jan 1, 2015, for specific purposes of constructing special-purpose equipment to be used in its operations Construction on the equipment began on Jan 1, 2015, and the following expenditures were made prior to the project's completion on Dec 31, 2016: Cost of Direct material and labor $400,000, Overhead cost $100,000, the journal entry to record this transaction P Flag question Select one: a. Equipment debit 540,000 and cash credit 540,000 b. None of the other answers c. Equipment debit 580,000 and cash credit 580,000 d. Equipment debit 700,000 and cash credit 700,000 Question 14 Not yet answered Delta Inc. trades (exchange) it's used machine for a new model with Alpha Co, the used machine has a book value of SR8,000 (original cost SR12,000 less SR4,000 accumulated depreciation) and a fair value of SR6,000, Delta will pay SR5000, and the exchange has commercial substance, then the cost of the new equipment entry is Marked out of 1.00 Select one: a. 14,000 P Flag question b. 11,000 c. 2,000 d. None of the other answers in 15 Trading securities: ed Select one: out of a. Debt - Amortized Cost - Current or Non-current b. None of the other answers c. Equity - Fair value - Current or Non-current d. Debt or equity - Fair value - Current or Non-current on 16 The common method in preparing statement of cash flow is ed Select one: out of a. Direct method b. Indirect method c. None of the other answers d. other method on 17 Delta Inc. trades (exchange) it's used machine for a new model with Alpha Co, the used machine has a book value of $7,000 (original cost $10,000 less $3000 accumulated depreciation) and a fair value of $8,000, Delta will pay $7000, and the exchange has commercial substance, then the required entry of this transaction is Ted out of eg on Select one: a. equipment debit 14,000, accumulated depreciation debit 3000, equipment credit 10,000, and cash credit 7000 b. equipment debit 16,000, accumulated depreciation debit 3000, equipment credit 10,000 cash credit 7000 and gain credit 2000 c. equipment debit 15,000, accumulated depreciation debit 3000, equipment credit 10,000, cash credit 7000 and gain credit 1000 d. None of the other answers The cash sales 50,000, cash receipts from accounts receivable 40,000, cash purchases 22,000, cash payments to accounts payable 18,000, the cash expenses 20,000, the acquisition of new equipment 70,000 cash, the cash receipts from sale of old equipment 10,000, the cash receipts from issuing new share capital 20,000, the cash receipts form borrowing new long- term loan 15,000, the cash dividends for shareholders 10,000 and the beginning cash balance is 8,000 then the end cash balance is Select one: a. -3000 b. 3000 c. None of the other answers d. -5000Step by Step Solution
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