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dmitriy555 [2]
2 years ago
8

When selling a fixed asset, the seller recognizes a gain or loss for the difference between the amount received and the ______ v

alue of the asset sold.
Business
1 answer:
Katyanochek1 [597]2 years ago
4 0

Answer:

Book value

Explanation:

Book value refers to the worth of an asset in the financial records of its owner.  It is the original cost of the asset minus its accumulated depreciation.  The book value is the same as the carrying value in the balance sheet.

Assets decline in value due to the passage of time, usage, and corrosion. Though depreciation, the value of the asset is gradually reduced in its books. Usually, depreciation happens until the end of the asset's useful life.  

If an asset is sold before the end of its useful life, a comparison will be made between the amount received and its book value. If the book value is higher than the amount received, a loss will be recorded.

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Match the scenarios to the type of income earned based on the categories of the income approach.
Dmitry [639]

Answer:

1. Compensation of employees

Mos Quito works as an exterminator for Bugs B Dead, Inc

2. Corporate Profits

Noah Count,Inc ., recently paid out dividends to stakeholders.

3. Proprietor's income

Exterminator plus is an owner owned business.

4. Miscellaneous Adjustments

Noah Count Inc collects $2000 in sales taxes every month

5. Net Interest

Bugs B Dead, Inc., pays it's mortgage promptly every month

6. Rental income

Anitha house bought a duplex for a additional income

Explanation:

1) Compensation of employees is the total remuneration, in cash or in kind, payable by an employer to an employee in return for work done by the employee during an accounting period. In this case Mos Quito is an employee.

2) Corporate profits also called net profit is a measure of financial performance that indicates earnings after expenses and other deductions made.

3) Proprietor's income is the excess of revenue over explicit production cost of owner-operated businesses and includes payments for labor, capital, land and entrepreneurship.

4) Miscellaneous Adjustments is used to make adjustments without having to consider amount limitations.

5) Net interest is the difference between the income a bank earns from interest and the expenses (including interest payments) associated with its liabilities.

6) Rental income is the amount of money collected by a landlord from tenants using a particular space or property

8 0
2 years ago
Babette is a manager at a fast-food outlet. Recently, her employees have been coming in late, and she wants to change their beha
bagirrra123 [75]

Answer:

unfreezing

Explanation:

Based on the scenario being described within the question it can be said that the employees are in the unfreezing part of the change process. This part of the change process focuses on preparing the individual employees to realize that the change is absolutely necessary in order to improve their performance and the companies overall efficiency.

8 0
2 years ago
A company purchased a tract of land for its natural resources at a cost of $1,500,000. It expects to mine 2,000,000 tons of ore
Natasha2012 [34]

Answer:

Option c is the correct answer.

Explanation:

The depletion expense or charge for the period can be calculated using the following formula,

Depletion expense = [(Cost - Salvage Value) / Total units expected to be mined] * Units mined during the period

Depletion expense = [(1500000 - 250000) / 2000000] * 150000

Depletion expense = $93750

The entry to record the expense is,

Depletion expense            93750 Dr

     Accumulated depletion         93750 Cr

So, option c is the correct answer.

7 0
2 years ago
Suppose that in order to prevent loss of revenue due to used product markets, smartphone providers successfully lobby the govern
Korolek [52]

Answer:

d.

Explanation:

6 0
2 years ago
Increasing the effectiveness of internal controls would have the greatest effect on
saveliy_v [14]
Increasing the effectiveness of internal controls would have the greatest effect on r<span>educing the control risk.</span>
The risk control includes evaluation of potential losses and actions to reduce or eliminate risks. The potential risk factors in a firm's operations are identified  (technical and non-technical aspects of the business, financial policies, and other policies).

7 0
2 years ago
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