Net income will decrease or increase?? Apex Corporation sold machinery for $57,000. Themachinery had an original cost of $135,000 andaccumulated depreciation of $62,000. Ignoring thetax effect, as a result of the sale: a. net incomewill increase by $57,000. b. net income willdecrease by $16,000. c. net income will increaseby $16,000. d. net income will decrease by $57,000.

Explanation of Gain or Loss on Sale of Asset:Gain or loss on the sale of an asset is determined by…

Answered: Apex Corporation sold machinery for…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter14: Capital Structure Management In Practice

Section: Chapter Questions

Problem 2P

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MCQ
A truck costs $82,000 when new and has accumulated depreciation of $70,000. Suppose Frank Towing exchanges the truck for a new truck. The new truck has a market value of $79,000, and Frank pays cash of $52,000. Assume the exchange has commercial substance. What is the result of this exchange? OA. No gain or loss OB. Gain of $15,000 OC. Gain of $67,000 OD. Loss of $15,000
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Sub. General accounting
Question for Maroon Company: • HOW MUCH IS THE GAIN OR LOSS IF THE BLDG IS SOLD FOR P8MILLION ONE YEAR AFTER REVALUATION? • HOW MUCH IS THE BLANCE OF REVALUATION SURPLUS AFTER THE SALE? For Noypi Store, follow the requirement. (Choose from the choices and kindly provide a solution.)
In each of the following cases, find the unknown variable. Ignore taxes. (Do not round intermediate calculations and enter your depreciation answer rounded to the nearest whole number and other answers rounded to 2 decimal places.) Accounting Break-Even Unit Price Unit Variable Cost Fixed Costs Depreciation 95,800 $42 $30 $820,000 143,806 64 2,750,000 1,150,000 7,835 97 245,000 105,000
Global Positioning Net purchased equipment on January 1, 2018, for $15,233. Suppose Global Positioning Net sold the equipment for $11,000 on December 31, 2020. Accumulated Depreciation as of December 31, 2020, was $10,155. Journalize the sale of the equipment, assuming straight-line depreciation was used. First, calculate any gain or loss on the disposal of the equipment. Market value of assets received Less: Book value of asset disposed of Cost Less: Accumulated Depreciation Gain or (Loss)
At the end of its financial year, Tanner Co had the following non-current assets: Land and buildings at cost $10.4 million Land and buildings: accumulated depreciation $0.12 million Tanner Co decided to revalue its land and buildings at the year-end to $15 million. What will be the value of the revaluation surplus if the revaluation is accounted for? %24
Assume that Peak Co. Is considering disposing of equipment that cost... Please need answer the general accounting question
A publishing company wants to replace an old machine, which to date is totally depreciated. The new equipment will increase earnings before depreciation and taxes by $ 33,000 per year over its useful life, calculated at 9 years. Its price is $ 166,500 including installation costs. If the company pays taxes of 47% and its MARR is 11%, establish the convenience of replacement if depreciation is declared through: a.straight line method b.Method of the sum of the digits of the years.

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