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What is the amount of gain or loss on this transaction

On March 14, batting co. traded in one of it's cages for one that cost $300,000. The seller of the batting cage is willing to allow a trade in amount of $20,000. The initial cost of old equipment was $100,000 with an accumilated depreciation of $80,000. Depreciation has been taken up at the end of the year. The difference will b

Smiths Incorporated

Company Background: Smiths Incorporated makes model cars to sell to toy stores & has a repair dept to repair clients cars for a fee & in business for 5 yrs. At the end of 2005, the accting records reflect total assets of $500,000 and total liabilities of $200,000. During the current year, 2006 the following events took place.

Plant Asset Expenditures

Diaz Company was organized on January 1. During the first year of operations, the following plant asset expenditures and receipts were recorded in random order. Instructions Analyze the foregoing transactions using the following column headings. Insert the number of each transaction in the Item space, and insert the amounts

Accounting Changes - Depreciation

Buckeye Company purchased a machine on January 1, 2004. The machine had a cost of $260,000 with a $10,000 residual value. The estimated useful life of the machine was 8 years. On January 1, 2006, due to technological innovations, the total estimated useful life was reduced by 2 years from the original life and the residual v


Woolery, Inc. had 50,000 shares of common stock outstanding at January 1, 2006. On March 31, 2006, an additional 12,000 common shares were sold for cash. Woolery also had $4,000,000 of 6% convertible bonds outstanding throughout the year. The bonds are convertible into 40,000 shares of common stock. Net income for the year

Accounting for Income Taxes

The information that follows pertains to Raymond Company. Temporary differences for the year 2006 are summarized below. Expenses deducted on the tax return, but not included on the income statement: Depreciation $60,000 Prepaid expense 8,000 Expenses reported on the income statement, but not deducted on the

Accounting Change and Error Analysis

Prepare the disclosure notes required for the entries made in the problem, detailing the errors in and the changes you have made to the journal entries, and the changes will affect the financial statements. (Accounting Change and Error Analysis) On December 31, 2008, before the books were closed, the management and accountant

Accounting Equation

Can you help me with accounting spreadsheet with the following problem? I think I am trying to make to much into the financial information and continue to miss steps on the accounting spreadsheet and responses. Overview Company organized 1/1/205 by 4 people. Each person invested $10,000 in the company and issued 8,000 shares

Tax deductions: Schedule A taxes for Hugh

During the current year, Hugh, a self-employed individual, paid the following amounts: Real estate tax on Iowa residence $3,800 State income tax 1,700 Real estate taxes on land in Puerto Rico (held as an investment) 1,100 Gift tax paid on gift to daughter 1,200 State sales taxes 1,750 State occupat

Likely consequences of the tax subsidy plan

In 1990, Japan's Ministry of International Trade and Investment (MITI) proposed that firms be given a tax credit equal to 5% of the value of its increased imports. The purpose of this tax subsidy is to encourage Japanese imports of foreign products and thereby reduce Japan's persistent trade surplus. At the same time, the Japane

Net impact of Boeing sale on the U.S. current account

Suppose Lufthansa buys $400 million worth of Boeing jets in 1994 and is financed by the U.S. Eximbank with a five year loan that has no principal or interest payments due until 1995. What is the net impact of this sale on the U.S. current account, capital account, and overall balance of payments for 1994?

Those who have read this book called "Who moved my cheese"

It would be great help if you help me to write atlease 1 or two paragraph by answering this question. I have try couple lines if that make any sense to you. Help me to expand if you read this book called "WHO MOVED MY CHEESE". Thank you. Question: Historical contribution of the book (How does it fit into the prevailing int

Company A has identified three cost pools to allocate overhead costs.

Company A has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year: Cost Pool Overhead Costs Cost driver Activity level Supervision of direct labor $320,000 Direct labor-hours 800,000 Machine maintenance $120,000 Machine-hours 960,000 Facility rent $200,0

New Portfolio Beta After Selling

Nicole holds three stocks in her portfolio: A, B, and C. The portfolio beta is 1.40. Stock A comprises 15% of the dollar value of her holdings and has a beta of 1.0. If Nicole sells all of her investment in A and invests the proceeds in the risk-free asset, her new portfolio beta will be: a. 0.60 b. 0.88

Consequence of Tax Cut on Equilibrium Value

In 1987, the British government cut taxes significantly, raising the after tax return on investments in Great Britain. What would be the likely consequence of this tax cut on the equilibrium value of the British pound?

Financial Reporting Problem

Use the Internet to acquire a copy of the most recent annual report for the publicly traded company you selected in Learning Team Meeting One. Then, use the information contained in the balance sheet and income statement to answer the following questions: The Company that I chosed is Motorola. I need help in answering the que

Homework help

Illustration 8.1 states the six principles of control (below). How do you think these principles of controls apply any organization. Ø Establishment of responsibility Ø Segregation of duties Ø Documentation procedures Ø Physical, mechanical, and electronic controls Ø Independent int

A Discussion On EBIT-EPS Calculations

Moon and Chittenden are considering a new Internet venture to sell used textbooks. The project requires $300,000 in financing. Two alternatives have been proposed. Plan 1 (Common equity financing). Sell 30, 000 shares of stock at a net price of $10 per share. Plan 2 (Debt equity financing). Sell a combination of 15,000 sha

McFrugal, Inc. - Leverage and EPS

McFrugal, Inc. has expected sales of $20 million. Fixed operating costs are $2.5 million, and the variable cost ratio is 65 percent. McFrugal has outstanding a $12 million, 8 percent bank loan. The firm also has outstanding 1 million shares of common stock ($1 par value). McFrugal's tax rate is 40 percent. a. What is McFrugal

Contributions to IRA

Hi, I have a Rollover IRA and a money market IRA account. If I make contributions to bothe these accounts (transfer money into the IRA account from my checking account), what is the tax implication? Is it a good tax implication? Thanks.

Expected Opportunity Loss

Blossom's Flowers purchases roses for sale for Valentine's Day. The roses are purchased for $10 a dozen and are sold for $20 a dozen. Any roses not sold on Valentine's Day can be sold for $5 per dozen. The owner will purchase 1 of 3 amounts of roses for Valentine's Day: 100, 200, or 400 dozen roses. Given 0.2, 0.4, and 0.4 are t