The following information was disclosed in the financial statements of Highfield Co for the year ended 31/12/2015. 2014 2015 Plant &Equipment cost Accumulated Depreciation 255,000 (100,000) 235,000 (110,000) During 2015, the following occurred in respect of Plant & Equipment: Purchases of P&E Depreciation charged on P&E Loss on disposal of P&E 10,000 25,000 8,000 What were the sales proceeds received on disposal of the P&E? A. O 8,000 B. O $25,000 C. $15,000 D. $7,000

Q: What is freight in on purchases?

A: Purchases are the transaction where in the buyer purchases goods and services from a seller by…

Q: How should a non vat seller treat input vat paid on the purchases from vat supplier of inventories…

A: The major purpose of adopting VAT is to reduce the effects of multiple taxes and the cascading…

Q: Which of the following accounts is an example of a contra-asset? A) Cost of Goods Sold B)Sales…

A: CONTRA ASSETS    contra asset account is a type of asset account where the account balance may…

Q: What are the differences between the cost and sales comparison approaches to appraising property?

A: If the cost approach is used, the appraiser set up an value for the location on which the…

Q: In what situation will the unrealized holding gain or losson inventory be reported in income?

A:

Q: What is the accounting treatment for supplies inventories if the purchases method is used to record…

A: Supplies generally form a part of current assets of the entity and represent the amount of supplies…

Q: What are the valuing inventories?

A: Cost:   It is the economic value incurred by an organization to manufacture a product or to render a…

Q: Which of the following would be considered by the CRA to be business income rather than property…

A: Solution for the problem:Correct answer : (c) Profit from the sale of inventory items."Profit from…

Q: When does a company typically recognize revenue for a bill-and-hold sale?

A: Bill and hold agreements represent a sales arrangement in which the buyer pays for the item or items…

Q: What does the Total-Assets-Turnover Ratio measure?

A: The asset turnover ratio computes the value of the benefits or income of an organization comparative…

Q: Explain the accounting for sales with right of return.

A: Definition: Accounting for sales with a right of return: Accounting for sales with the right of…

Q: Which of the following is reported as part of the operating expenses? Cost of sales…

A: The question is based on the concept of Business Accounting.

Q: How do you report a gain if a portion of the inventory has been sold?

A: Inventory when purchased is recorded in the financial statements {Part of Cost of Goods sold}…

Q: Which items comprise operating current assets? Why is itreasonable to assume that they grow…

A: Operating current assets are the short-term assets utilized to promote a business's processes

Q: Are donation of goods considered an expense or cost of sale on statement of profit and loss or other…

A: Donation is a part of voluntary activity. It is not part of business consideration. Anything given…

Q: How do unearned revenues arise?

A:

Q: How is inventory valuation made? Explain?

A: Stock or inventory are important yet inert resources lying with the organization at the end of an…

Q: What is meant by straight line method if charging depreciation?

A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due to its…

Q: State where each of the following items would appear on a multiple-step income statement: Item (a)…

A: Income Statement :— It is one of the financial statement that shows profitability of company during…

Q: What is the proper accounting for volume discounts onsales of products?

A: Volume discounts: It is an incentive to encourage for an increase in business. The seller issue…

Q: Depreciation expense is used to

A: Depreciation is gradual decrease in the value of asset due to normal wear and tear, obsolescence and…

Q: Under what conditions should a company disclose the amount of sales from a major customer?

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Q: net income

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Q: How do you figure units-of-production method depreciation?

A: The business entities are required to charge the depreciation expense on their assets so that the…

Q: how to i figure out the income from operations of discontinued components and from discontinued…

A: Discontinued operations means the segment of the business no longer continued by the business.…

Q: s the cost of goods sold from the income statement part include the cost of goods in inventory?

A: Cost of Goods Sold=Beginning Inventory+Purchases for the period-Ending Inventory

Q: How did we get the depreciation expense delivery van

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Q: What is a repurchase agreement (product financing)arrangement? How should a product repurchase…

A: