answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
N76 [4]
2 years ago
8

China Inn and Midwest Chicken exchanged assets. China Inn received a delivery truck and gave equipment. The fair value and book

value of the equipment were $22,000 and $12,000 (original cost of $45,000 less accumulated depreciation of $33,000), respectively. To equalize market values of the exchanged assets, China Inn paid $9,000 in cash to Midwest Chicken. At what amount did China Inn record the delivery truck? How much gain or loss did China Inn recognize on the exchange?
Business
1 answer:
m_a_m_a [10]2 years ago
4 0

Answer:

$31,000; $10,000

Explanation:

Given that,

Fair value of the equipment = $22,000

Book value of the equipment = $12,000

Original cost of the equipment = $45,000

Accumulated depreciation = $33,000

Fair value of delivery truck:

= Cash paid to Midwest Chicken for delivery truck apart from equipment + Fair value of equipment sold in exchange

= $9,000 + $22,000

= $31,000

Gain recognize on exchange:

= Fair value of equipment given in exchange - Book value of equipment

= $22,000 - $12,000

= $10,000

You might be interested in
Which statement best describes the role of a credit agency?
tekilochka [14]

Answer:

The statement best describes the role of a credit agency is "It tracks the use of credit for lenders"

3 0
2 years ago
The 20x9 balance sheet of E.I. du Pont de Nemours and Company shows average DuPont shareholders' equity attributable to controll
Ghella [55]
The person above me is right
6 0
2 years ago
Cordell Inc. experienced the following events in Year 1, its first year of operation:Received $55,000 cash from the issue of com
jonny [76]

Answer:

See the explanation box

Explanation:

See the image to get the answer:

7 0
2 years ago
Starbucks has been in business for over 40 years and for most of that period has been quite successful. They have a portfolio of
Keith_Richards [23]

Answer:

Marketing and distribution of a variety of products

Explanation:

Marketing refers to a business function whereby a marketer advertises and promotes goods and services with an objective to increase sales and at the same time ensure customer satisfaction.  Marketing mix refers to essential marketing components for effective marketing.

Marketing mix comprises of product, place, price and promotion.

Distribution refers to activities which are aimed at making products available in the right markets at the right time and utilizes various channels of distributions such as retailers, wholesalers, intermediaries, etc.

In the given case, Starbucks, the renowned coffee maker, has formed alliances or collaborations so as to extend and strengthen their business. These strategic alliances help Starbucks create an effective distribution network and wide-reach marketing which subsequently helps in efficient operations and profitability.

6 0
1 year ago
A college math department consisting of 9 faculty members must choose a department head, an assistant department head, and a fac
loris [4]
<span>The department consists of 9 members but they must select a department head, an assistant department head, and a faculty senate representative. So they are 3 positions to be occupied by 9 people. It can be done in nPr = n! / (n - r)! ways.
   So 9C3 ways. 9! / (9-3)! = 9! / 6! = 504 ways</span>
4 0
1 year ago
Other questions:
  • At a price of $13, quantity demanded is ________, quantity supplied is ________ ; therefore excess ________ has occurred.
    7·1 answer
  • Problem 5-30 Graphing; Incremental Analysis; Operating Leverage [LO5-2, LO5-4, LO5-5, LO5-6, LO5-8][The following information ap
    13·1 answer
  • The following transactions are July 2014 activities of Craig�s Bowling, Inc., which operates several bowling centers (for games
    9·1 answer
  • After graduating this May, Dale is planning on buying a new Ferrari for $250,000. He decides to finance his new car with a 5 yea
    10·1 answer
  • Exercise 12-15 a-b Foss, Albertson, and Espinosa are partners who share profits and losses 50%, 30%, and 20%, respectively. Thei
    7·1 answer
  • Firms have several choices of diversification initiatives that can be used to create value. Which of the following is not one of
    13·1 answer
  • Compared with free​ trade, large countries may increase national welfare when they place a tariff on imports. What unique aspect
    10·1 answer
  • Tryon Corp. and Sandoval, Inc. were joint owners of the former Sandy Glass manufacturing facility. An environmental assessment f
    5·2 answers
  • Matty Kaminsky owns a new Volvo. His June monthly interest is $400. The rate is 8 ½%. Matty's principal balance at the beginning
    5·1 answer
  • Read across from the Lease Type column and choose the answer choice which best represents the type of activities lease-related c
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!