Answer:
$1,000
Explanation:
Fixed assets must be recorded at historic cost or purchase value. Their valuation is not affected by changes in market values, e.g. land might appreciate over time, but its historic cost will be used for accounting purposes.
In this case, Lisi doesn't have a bill to show the price of the rack, and since she paid in cash, she has no way of proving what she actually paid for it. In this case, in order to record the purchase of the rack you must use the fair market value of similar racks.
Imagine if someone could just say that they purchased things at X price but didn't get a bill, soon people would be recording buying pencils at $500 each because they are gorgeous and perfectly crafted.
Answer:
$88,000
Explanation:
Jill's original house value = $175,000 house cost + $7,000 closing costs + $75,000 improvements = $257,000
Jill's revenue from house sale = $375,000 selling price - $30,000 sale cost
= $345,000
Jill's capital gain = $345,000 sales revenue - $257,000 house original value
= $88,000
Answer:
B. $132,000.
Solution : Segment margin is calculated by deducting all expenses that are directly traceable to the segment. it doesn't include corporate common expenses.
So, Contribution = 50000 x(10-6) = $ 200000
Less : Direct fixed cost ($ 68000)
Segment Margin $ 132000
Answer:
C. Cultural and organizational changes
Explanation:
The many northern american companies required to make the cultural and organization changes prior to the approaches i.e. lean that implemented successfully as if we bring the changes like cultural and organizational one so it would become very challenging task
Therefore as per the given situation the option c is correct
And, the rest of the options are wrong
