User Account

All Pages

What is the amount of impairment on the equipment

Assignment Help Accounting Basics
Reference no: EM132007196

Question - Oh No! inc. uses a special piece of equipment in its packaging business. The equipment was purchased on 1/1/2002 for $6,000,000 and had an estimated useful life of 6 years and no salvage value. On december 31, 2003, new technology was introduced that accelerated the obsolescence of Oh No!'s equipment. The controller estimates that expected future net cash flows on the equipment will be $3,250,000 and that the fair value of the equipment is $3,000,000. What is the amount of impairment on the equipment?

Reference no: EM132007196

Questions Cloud

Calculate the forward exchange rate the bank will provide : You obtain information from your bank on the forward exchange rate contract and given the following information.
What should be reported as total intangible assets : In the preparation of Banner's balance sheet as of December 31, 2004, what should be reported as total intangible assets
Calculate the arithmetic average returns for large-company : Calculate the arithmetic average returns for large-company stocks and T-bills over this period. (
What is the firm market value weight of debt : a) What is the firm's market value weight of debt, market value weight of preferred stock and market value weight of equity?
What is the amount of impairment on the equipment : Oh No! inc. uses a special piece of equipment in its packaging business. What is the amount of impairment on the equipment
Bonds make semiannual payments : Debt: 8,800 8.1 percent coupon bonds outstanding, $1,000 par value, 22 years to maturity, selling for 103.5 percent of par; the bonds make semiannual payments
How low would the interest rate on the loan : How low would the interest rate on the loan with the compensating balance have to be for you to choose it?
How much can you withdraw each year : If your retirement investments return 4%, how much can you withdraw (in real terms) each year?
Determine the effect of the change : Determine the effect of the change and prepare the appropriate journal entry to record ABC Co.'s Income tax expense for 2011

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd