Grace Carol Associates surveys American eating habits. The company’s accounts include Land, Buildings, Office Equipment, and Communication Equipment, with a separate Accumulated Depreciation account for each asset. During 2016, Grace Carol completed the following transactions. Transactions:09/01/2016 Sold a building that cost $540,000 (accumulated depreciation of $240,000 through December 31 of the preceding year). Grace Carolreceived $380,000 cash from the sale of the building. Depreciation is computed on a straight-line basis. The building has a 40-yearuseful life and a residual value of $60,000.12/31/2016 Recorded depreciation as follows: Communication equipment is depreciated by the straight-line method over a five-year life with zeroresidual value. Office equipment is depreciated using the double-declining-balance method over five years with a $2,000 residualvalue gidata.peaHOMEWORK 2.com/app/#/Problem 1: P10-32ABackground:Grace Carol Associates surveys American eating habits. The company's accounts include Land,Buildings, Office Equipment, and Communication Equipment, with a separate AccumulatedDepreciation account for each asset. During 2016, Grace Carol completed the followingtransactions.DateBUSINESS REPORTSCOMPANY INFORMATION CHART OF ACCOUNTS GENERAL JOURNALNo transactions in Journal/businesAccountsSAVE WORK RESET RESULTS SUBMIT WORKADD TRANSACTION EDIT CHECKED TRANSACTION DELETE CHECKED TRANSACTIONSal/viewTransactions:01/01/2016 Purchased office equipment, $112,000. Paid $74,000 cash and financed the remaining with a note payable.04/01/2016 Acquired land and communication equipment in a lump-sum purchase. Total cost was $340,000 paid in cash. An independentappraisal valued the land at $267,750 and the communication equipment at $89,250.09/01/2016Sold a building that cost $540,000 (accumulated depreciation of $240,000 through December 31 of the preceding year). Grace Carolreceived $380,000 cash from the sale of the building. Depreciation is computed on a straight-line basis. The building has a 40-yearPREVIOUS 1Assignment:This question has 3 requirements. Scroll down to review the requirements and ensure youcomplete all requirements before submitting your work for grading.Requirements1. The accounts used by Grace Carol Associates are provided in the Chart of Accounts (clickon "Chart of Accounts" to view). The accounts have already been opened in the GeneralLedger (click on "General Ledger" to view).2. Prepare journal entries to record the transactions occurred during year and post the entriesto the General Ledger.3. Review each of the accounts in the General Ledger to see the results of posting the journalNEXTJanuary 1, 2016Debit?December 31, 2016 >Credit

A journal entry is a form of accounting entry that is used to report a business transaction in a…

Grace Carol Associates surveys American eating habits. The company’s accounts include Land, Buildings, Office Equipment, and Communication Equipment, with a separate Accumulated Depreciation account for each asset. During 2016, Grace Carol completed the following transactions.

Grace Carol Associates surveys American eating habits. The company’s accounts include Land, Buildings, Office Equipment, and Communication Equipment, with a separate Accumulated Depreciation account for each asset. During 2016, Grace Carol completed the following transactions.

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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Sarasota Corporation and Marigold Corporation, two companies of roughly the same size, are both involved in the manufacture of shoe-tracing devices. Each company depreciates its plant assets using the straight-line approach. An investigation of their financial statements reveals the following information. Net income Sales revenue Total assets (average) Plant assets (average) Intangible assets (goodwill) (a) (1) (2) (3) Return on assets Profit margin Asset turnover Sarasota Corp. $ 237,540 Save for Later 1,187,700 3,210,000 2,430,000 387,100 For each company, calculate these values: (Round answers to 2 decimal places, e.g. 6.25% or 17.54.) Marigold Corp. $316,050 Sarasota Corp. 1,264,200 3,010,000 1,828,000 do % do % 0 times Marigold Corp. % do % times Attempts: 0 of 3 used Submit Answer
The financial statements of Columbia Sportswear Company are presented in Appendix B. Click here to view Appendix B. The financial statements of Under Armour, Inc. are presented in Appendix C. Click here to view Appendix C. The complete annual report, including the notes to the financial statements, is available at the company's website. (b) What conclusions concerning the management of plant assets can be drawn from these data? 1. 2. 3. Return on assets Profit margin Asset turnover Columbia Sportswear Company 12.0% 9.8% 1.22 times Under Armour, Inc. -1.1% -0.9% 1.26 times
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