Chapter 10 Long-Term Assets: Fixed and Intangible527P. 517 PE 10-9B Fixed asset turnover ratioOBJ. 7Financial statement data for years ending December 31 for Xiong Company follow:Year 2Year 1Sales$1,560,000$1,026,000Fixed assets:Beginning of yearEnd of year580,000000'00s620,000580,000a. Determine the fixed asset turnover ratio for Year 1 and Year 2.b. Does the change in the fixed asset turnover ratio from Year 1 to Year 2 indicate a(D) favorable or an unfavorable change?esOBJ. 1EX 10-1Costs of acquiring fixed assetsMelinda Stoffers owns and operates ABC Print Co. During February, ABC incurred thefollowing costs in acquiring two printing presses. One printing press was new, and theother was purchased from a business that recently filed for bankruptcy.Costs related to new printing press:1. Fee paid to factory representative for installationME NOM2. Freight3. Insurance while in transit4. New parts to replace those damaged in unloading5. Sales tax on purchase priceEX eebo rbT6. Special foundationDsbucca botetomucaA i sosisdCosts related to used printing press:7. Fees paid to attorney to review purchase agreement8. FreightCHOMNE MOM9. Installation10. Repair of damage incurred in reconditioning the press11. Replacement of worn-out parts12. Vandalism repairs during installationa. Indicate which costs incurred in acquiring the new printing press should be debitedto the asset account.b. Indicate which costs incurred in acquiring the used printing press should be debitedto the asset account.EX 10-2 Determining cost of landOBJ. 1,2Bridger Ski Co. has developed a tract of land into a ski resort. The company has cut thetrees, cleared and graded the land and hills, and constructed ski lifts.(a) Should the tree cutting land clearing and grading oonto of

The expenses to allocate to a fixed asset include the asset's purchase price as well as any…

EX 10-1 Costs of acquiring fixed assets OBJ. 1 Melinda Stoffers owns and operates ABC Print Co. During February, ABC incurred the following costs in acquiring two printing presses. One printing press was new, and the other was purchased from a business that recently filed for bankruptcy. Costs related to new printing press: ON 2M 1. Fee paid to factory representative for installation

EX 10-1 Costs of acquiring fixed assets OBJ. 1 Melinda Stoffers owns and operates ABC Print Co. During February, ABC incurred the following costs in acquiring two printing presses. One printing press was new, and the other was purchased from a business that recently filed for bankruptcy. Costs related to new printing press: ON 2M 1. Fee paid to factory representative for installation

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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