Caps Lo Lyle Inc purchased certain plant assets under a deferred payment contract on December 31, 2018 The greement was to pay $20,000 at the time of purchase and $20.000 at the end of each of the next 5 years T plant assets should be valued at 5 Present value of a $20,000 ordinary annuity for 5 years $120,000 $120,000 minus imputed interest $120,000 plus imputed interest a b. C Ashton Company exchanged a nonmonetary asset with a cost of $30,000 and accumulated depreciation of S16,000 for another nonmonetary asset worth $12,000, Ashton received $1,400 cash. In the entry to record this exchange, Ashton should record a: Bu 1yu $2,000 gain $2,000 loss $600 gain a. FU 1900D b. C. $600 loss efollowing expenditures were among those incurred by Jensen Corporation during the current year. Replacementof tiles on portion of roof that had been leaking Overhaul of machinery that is expected to extend its useful life for another 2 years 6,000 $4,000 uch should be charged to repairs and maintenance in the current year: any replaces an old asphalt roof on its plant with a new fiberglass insulated roof, which of the of expenditure occurs? гераir
Caps Lo Lyle Inc purchased certain plant assets under a deferred payment contract on December 31, 2018 The greement was to pay $20,000 at the time of purchase and $20.000 at the end of each of the next 5 years T plant assets should be valued at 5 Present value of a $20,000 ordinary annuity for 5 years $120,000 $120,000 minus imputed interest $120,000 plus imputed interest a b. C Ashton Company exchanged a nonmonetary asset with a cost of $30,000 and accumulated depreciation of S16,000 for another nonmonetary asset worth $12,000, Ashton received $1,400 cash. In the entry to record this exchange, Ashton should record a: Bu 1yu $2,000 gain $2,000 loss $600 gain a. FU 1900D b. C. $600 loss efollowing expenditures were among those incurred by Jensen Corporation during the current year. Replacementof tiles on portion of roof that had been leaking Overhaul of machinery that is expected to extend its useful life for another 2 years 6,000 $4,000 uch should be charged to repairs and maintenance in the current year: any replaces an old asphalt roof on its plant with a new fiberglass insulated roof, which of the of expenditure occurs? гераir
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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please answer question 5
Transcribed Image Text:Caps Lo
Lyle Inc purchased certain plant assets under a deferred payment contract on December 31, 2018 The
greement was to pay $20,000 at the time of purchase and $20.000 at the end of each of the next 5 years T
plant assets should be valued at
5
Present value of a $20,000 ordinary annuity for 5 years
$120,000
$120,000 minus imputed interest
$120,000 plus imputed interest
a
b.
C
Ashton Company exchanged a nonmonetary asset with a cost of $30,000 and accumulated depreciation of
S16,000 for another nonmonetary asset worth $12,000, Ashton received $1,400 cash. In the entry to record this
exchange, Ashton should record a:
Bu 1yu
$2,000 gain
$2,000 loss
$600 gain
a.
FU 1900D
b.
C.
$600 loss
efollowing expenditures were among those incurred by Jensen Corporation during the current year.
Replacementof tiles on portion of roof that had been leaking
Overhaul of machinery that is expected to extend its useful life for another 2 years 6,000
$4,000
uch should be charged to repairs and maintenance in the current year:
any replaces an old asphalt roof on its plant with a new fiberglass insulated roof, which of the
of expenditure occurs?
гераir
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