Canberra Enterprises has four divisions. It acquired on of them, Green Products, on January 1, 2011 for ¥480,000,000, and recorded goodwill of ¥60,900 as a result of that purchase. At December 31, 2011, Green Products had a recoverable amount of ¥444,000,000. The carrying value of the Company's net assets at December 31, 2011 was ¥426,000,000 (including goodwill). What amount of loss on impairment of goodwill should Canberra record in 2011? * O ¥18,000,000 O ¥36,000,000 O ¥54,000,000 O ¥ -0-

Canberra Enterprises has four divisions. It acquired on of them, Green Products, on January 1, 2011 for ¥480,000,000, and recorded goodwill of ¥60,900 as a result of that purchase. At December 31, 2011, Green Products had a recoverable amount of ¥444,000,000. The carrying value of the Company's net assets at December 31, 2011 was ¥426,000,000 (including goodwill). What amount of loss on impairment of goodwill should Canberra record in 2011? * O ¥18,000,000 O ¥36,000,000 O ¥54,000,000 O ¥ -0-

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Sandhill Corporation acquired two inventory items at a lump-sum cost of $128000. The acquisition included 3240 units of product LF, and 6480 units of product 1B. LF normally sells for $30 per unit, and 1B for $10 per unit. If Sandhill sells 1080 units of LF, what amount of gross profit should it recognize? O $2267. O $32400. O $36720. O $6800.
During the current year, a company properly classified as held for sale and then disposed of a component in a strategic shift. The carrying amount of the component was $820,000 at the time of its classification as held for sale, and no loss was recognized for a write-down to fair value minus cost to sell. Its fair value minus cost to sell at all relevant times was $900,000. The assets were actually sold for $600,000. The company should recognize a loss on disposal equal to A. Extraordinary loss of $220,000. $220,000. $300,000. $820,000. O B. C. D. + Previous Directions: Select the best answer. Mark Review Items Copyright | Privacy Policy | Employment 53 seconds Next->
AF’s property, plant, and equipment is reported at cost. The company has a policy ofnot revaluing property, plant, and equipment. Suppose AF decided to revalue its flightequipment on December 31, 2015, and that the fair value of the equipment on that datewas €10,000 million. Prepare the journal entry to record the revaluation, assuming thatthe journal entry to record annual depreciation had already been recorded. (Hint: youwill need to locate the original cost and accumulated depreciation of the equipment atthe end of the year in the appropriate disclosure note.)
DEF Company sells plant assets that originally cost $150,000 for $52,000 on December 31, 2011. The accumulated depreciation account had a balance for $60,000 after the current year’s depreciation of $15,000 had been recorded. The company should recognize a:A) $100,000 loss on disposalB) $40,000 gain on disposalC) $40,000 loss on disposalD) $25,000 loss on disposal
Blossom Corp. exchanged Building 24, which has an appraised value of $1,896,000, a cost of $2,722,000, and accumulated depreciation of $1,248,000, for Building M which belongs to Splish Ltd. Building M has an appraised value of $1,600,000, a cost of $3,182,000, and accumulated depreciation of $1,782,000. Splish paid Blossom the difference between the appraised values of the two buildings. Assume depreciation has been updated to the date of exchange. Prepare the entries on both companies' books, assuming the buildings are similar assets and there is no commercial substance for either company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Account Titles Blossom Corp. Buildings Accumulated Depreciation - Buildings Buildings Cash Debit 1243882 1248000 296000 Credit 2722000