ExercisesRequired informationExercise 11-4 (Algo) Other depreciation methods [LO11-2][The following information applies to the questions displayed below.]On January 1, 2021, the Allegheny Corporation purchased equipment for $343,000. The estimated service life of theequipment is 10 years and the estimated residual value is $24,000. The equipment is expected to produce 296,000 unitsduring its life.Required:Calculate depreciation for 2021 and 2022 using each of the following methods.Exercise 11-4 (Algo) Part 33. Assume instead the equipment was purchased on October 1, 2021. Calculate depreciation for 2021 and 2022 using each of the twomethods. Partial-year depreciation is calculated based on the number of months the asset is in service. (Do not round intermediateanswers and round your answers to the nearest whole dollar amount.)Sum-of-the-years' digitsOne hundred fifty percent declining balance$202112,8632022

First, compute the sum of digits as shown below: Sum of digits = n(n+1)/2 Sum of digits = 10(10+1)/2…

Answered: On January 1, 2021, the Alleghen

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On January 1, 2021, the Alleghen

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

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Chapter1: Financial Statements And Business Decisions

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Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.

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Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside Cable during 2024: Prior service cost at January 1, 2024, from plan amendment at the beginning of 2022 (amortization: $4 million per year) Net loss-pensions at January 1, 2024 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate ($ in millions) Beginning of 2024 Service cost Interest cost, 8% Loss (gain) on PBO Less: Retiree benefits End of 2024 Beginning of 2025 Service cost PBO $ 300 48 Interest cost, 8% Loss (gain) on PBO Less: Retiree benefits End of 2025 24 (2) (20) $ 350 PBO $ 350 38 28 5 Assume the following actuary and trustee reports indicating changes in the PBO and plan assets of Lakeside Cable during 2025: ($ in millions) (16) Beginning of 2024 Return on plan assets, 7.5% (10% expected) $ 405 Cash contributions Less: Retiree benefits End of 2024 Beginning of 2025 Return on plan assets, 15% (10% expected) $…
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10. Newton Inc offers its employees a defined benefit pension plan. Newton Inc reports under US GAAP. It records actuarial gains and losses in Other Comprehensive Income (OCI) and amortizes these amounts over the average remaining service life of its employees when they exceed a threshold. Newton Inc did not record any past service cost in fiscal year 2021. Below you can find excerpts from Newton's pension footnotes: 4+1 f Service cost Interest cost Expected return on plan assets Actual return on plan assets Contributions to defined benefits plan Benefits paid Pension liability Accumulated OCI losses related to defined benefit plans a. £6,950 b. £6,600 c. £6,250 d. £8,150 e. None of the above 2020 £3,300 £1,600 £2,100 £1,900 £2,000 £1,250 What is your best approximation of the net pension expenses recorded in P&L related to defined benefit plans in fiscal year 2021? ANSWER: C £35,000 £4,500 2021 £3,500 £1,750 £1,900 £2,000 £2,100 £1,350 £42,500 £5,100
Problem 2 Homework Corporation reported the following items in 2022: Income from Operations $140,000 Dividends received from 25% owned domestic corporation Long-term capital gain Short-term capital loss Charitable contribution Dividends paid 30,000 10,000 (12,000) (26,000) (25,000)
9) Icon International, a software company, incorporated on January 1, 2019 is planning to convert to IFRS. The company decided to present its first IFRS statements for the year ended December 31, 2021. What is the transition date of Icon International? a) January 1, 2019 b) January 1, 2021 c) December 31, 2021 d) December 31, 2019
Ee 158.
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6
When researching retirement obligations in the FASB Accounting Standards Codification you would look under section 210 310 410 510
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