Fixed asset depreciation-cisco and funseth farms examples

Assignment Help Accounting Basics

Reference no: EM1356915

Question 1.

Cisco System reported the following information in its 2009 financial statements ($ in millions):

2009 2008

Balance sheets $4,043 $4,151

Property, plant, and equipment (net)

Income statement $36,117

Net sales for 2009

Required

1. Calculate Cisco's 2009 fixed-asset turnover ratio

2. How would you interpret this ratio?

Question 2.

Funseth Farms, purchased a tractor in 2008 at a cost of $30,000. The tractor was sold for $3,000 in 2011. Depreciation recorded through the disposal date totaled $26,000.

1. Prepare the journal entry to record the sale.

2. Assuming that the tractor was sold for $10,000, prepare the journal entry to record the sale.

Reference no: EM1356915

Questions Cloud

Compare five technologies for in-home internet access : Compare and contrast at least five technologies which are readily available for in-home internet access. You must consider practical as well as technical differences in your comparison.

Compute firms retained earnings balance : A company had a year end 2004 retained earnings balance of $220,000. The company reported net profits after taxes of $50,000 in 2005 & paid dividends in 2005 of $30,000.

Consolidation-journal entries : On January 1, 2007, the stockholders of Phillips and Solina agreed to a consolidation. Because FASB requires that one party be recognized as the acquirer and the other as the acquirer-Prepare the journal entries on the books of Phillips to record t..

Determine total factory overhead costs : At a volume of 20,000 direct labor hours, Tirso Company incurs 50,000 in factory overhead costs, including 10,000 in fixed costs. suppose that this activity is within the relevant range,

Fixed asset depreciation-cisco and funseth farms examples : Funseth Farms, purchased a tractor in 2008 at a cost of $30,000. The tractor was sold for $3,000 in 2011. Depreciation recorded through the disposal date totaled $26,000.

Simple organizational structure : additional feature of this type of organizational structure would be the flat structure that limits upward mobility.

Responsibility and hierarchical relationships : Explain the executive, managerial, and administrative organization of a firm and indicates responsibility and hierarchical relationships.

Computation of next year stock return : If the returns on large corporation stocks are normally distributed, for which of the following returns can you not state, with 95 percent confidence that next years stock return might be equal to?

Describe about reward structure : Reward structure - why it is possible for highly ethical leaders to preside over an organization that commits several unethical acts.

User Account

All Pages