Solution-What was the gain or loss on the sale

What was the gain or loss on the sale

Assignment Help Accounting Basics

Reference no: EM133025026

Question -

Q1. Office equipment with a cost of P10 000 and accumulated depreciation of P9,500 was sold for P1,000 cash.

a. What was the gain or loss on the sale?

b. What was the effect of the transaction on working capital?

c. How would the transaction be reported in the cash flow statement?

Q2. The sales, net income and asset investment of two companies in the same Industry are as follows;

	Company X	Company Y
Sales	300,000	450,000
Net Income	30,000	45,000
Assets	200,000	900,000

a. What is the percentage of net income to sales for each company?

b. What is the rate of return on assets for each company?

c. As far as the data permit, comment on the relative performance of the two companies.

Reference no: EM133025026

Questions Cloud

Calculate net present value of planned investment project : The real after-tax cost of capital of Pelta Co is 7% and its nominal after-tax cost of capital is 12%. Calculate net present value of planned investment projec

Create persuasive and organizational email : What is a good a structure/template to create persuasive and organizational email to give options to a company while being considerate of tone and need for brev

Advantages and disadvantages of alphabetic storage method : Discuss the advantages and disadvantages of alphabetic storage method.

Factors of the marketing environment : Do you think, some factors of the marketing environment that have-an influence on Disney's marketing decisions? What are the factors? Explain.

What was the gain or loss on the sale : Office equipment with a cost of P10 000 and accumulated depreciation of P9,500 was sold for P1,000 cash. What was the gain or loss on the sale

7SSMM603 Research Methods Assignment : 7SSMM603 Research Methods Assignment Help and Solution King's College London - Assessment Writing Service

What total dollar amount of their mortgage payments : John and Peggy recently bought a house. They financed the house with a $234,000, What total dollar amount of their mortgage payments

What is the after-tax operating cash flow for year four : The expected revenue associated with the trucks is $135,000 per year with annual operating costs of $69,000. What is the after-tax operating cash flow for year

How you would create marketing material : Report on how you would create marketing material so that it appeals to either purchaser or tenants. Must include the different forms of marketing and communica

User Account

All Pages

What was the gain or loss on the sale

Reference no: EM133025026

Reference no: EM133025026

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT