On December 31, 2019, Armstrong realized that a piece of equipment may be impaired. The equipment was originally purchased for $9,000,000. Armstrong will continue to use this piece of equipment in the future. As of December 31, 2019, the equipment has a remaining useful life of 4 years and had been depreciated for six years. The equipment initially had a salvage value of $450,000 and the company uses the straight-line method of depreciation.

The expected future cash flows are presented below. The proper discount rate is 8%.

Year

2020 - 800,000

2021-600,000

2022-1,000,000

2023- 800,000

1. Determine if the asset is impaired   
2. If the asset is impaired determine the amount of the impairment loss.

Kingbird Corporation enters into a 6-year lease of equipment on December 31, 2019, which requires 6 annual payments of $37,400 each, beginning December 31, 2019. In addition, Kingbird guarantees the lessor a residual value of $22,000 at the end of the lease. However, Kingbird believes it is probable that the expected residual value at the end of the lease term will be $12,000. The equipment has a useful life of 6 years. Assume that for Lost Ark Company, the lessor, collectibility of lease payments is probable and the carrying amount of the equipment is $160,000.

Prepare Lost Ark’s 2019 and 2020 journal entries, assuming the implicit rate of the lease is 11% and this is known to Kingbird.

Allen Company had the following accounts and balances on December 31, 2019:
Estimated Liabilities $51,250 Discount on Notes Payable $150
Cash $20,000 Notes Receivable, maturity 2/1/22 $5,000
Notes Payable, due June 2, 2020 $1,000 Current Maturities of Long-Term

Debt

$6,900
Accounts Receivable $267,500 Unearned Revenue $4,320
Equipment $950,000 Interest Payable $1,010
Accounts Payable $104,400 Wages Payable $6,000
Inventory $85,000 Marketable Equity Securities $40,000
Land $600,000 Common Stock $900,000
Allowance for Doubtful Accounts $12,000
What is Allen Company’s current ratio?

On January 1, 2019, Ridge Company issued $10,000,000 face value bonds for 10 years at 12%. The bonds are issued at 96, and dated January 1. Interest is paid annually on January 1. The end of Ridge’s fiscal year is December 31. Required: 1. Prepare the necessary journal entries for the year 2019. 2. Show the balance sheet presentation on December 31, 2019. 3. Prepare the necessary journal entries for the year 2020. 4. What is the carrying value of the bonds at the end of the year 2024? What do you observe? 5. Prepare the necessary journal entries on the maturity date January 1, 2029.

On January 1, 2019, Ridge Company issued $10,000,000 face value bonds for 10 years at 12%. The bonds are issued at 96, and dated January 1. Interest is paid annually on January 1.

The end of Ridge’s fiscal year is December 31.

Required:

1.      Prepare the necessary journal entries for the year 2019.

2.      Show the balance sheet presentation on December 31, 2019.

3.      Prepare the necessary journal entries for the year 2020.

4.      What is the carrying value of the bonds at the end of the year 2024? What do you observe?

5.      Prepare the necessary journal entries on the maturity date January 1, 2029.

The Sunrise enterprises, a single product company, provides you the following data for the Month of Sep. 2020.

• Sales (4,000 units @ $25/unit): $1,00000

• Contribution Margin per unit: $12

• Total fixed expenses for the month: $18,000 Required: Calculate break-even point( in units and in dollars) and margin of safety( in Percentage, units and Dollars) for Sunrise enterprises using above data. Also draw a CVP graph and show the sales volume representing break-even point and margin of safety on the graph.

This question is from Economics, I want answer of this question with diagram and explanation of diagram

Please help me.

ABC Co. provides a company car to Danny. The cost of the car was $20,000 including HST. The car was driven for a total of 26,000 kilometres during 2020 and its operating costs for the year were $4,000. It was used by Danny for the whole year. He drove a total of 9,000 kilometres for personal purposes.

Instructions:

Calculate the Auto Benefit that Danny will include in his employment income by filling in the five (5) blanks below. Do not leave any blanks - if there is no value to input, enter "none" :

The company disclosed the following lease information in its 2018 annual report related to its leasing activities (in millions).

What effect does the failure to capitalize operating leases have on the company’s balance sheet? Over the life of the lease, what effect does this classification have on net income?

Bramble Corp. will invest $88000 every December 31st for the next six years (2020 – 2025). If Bramble will earn 13% on the investment, what amount will be in the investment fund on December 31, 2025?

$827609.

$732398.

$397518.

$351783

Sheffield Corp. has outstanding accounts receivable totaling $1.25 million as of December 31 and sales on credit during the year of $6.20 million. There is also a debit balance of $6100 in the allowance for doubtful accounts. If the company estimates that 2% of its accounts receivable will be uncollectible, what will be the balance in the allowance for doubtful accounts after the year-end adjustment to record bad debt expense?

$25000.

$31100.

$24878.

$18900.

Hi i need analysis on textbook sollution On January 1, 2017, AJ Corporation purchased bonds with a face value of $300,000 for $308,373.53. The bonds are due June 30, 2020, carry a 13% stated interest rate, and were purchased to yield 12%. Interest is payable semiannually on June 30 and December 31. On March 31, 2018, in contemplation of a major acquisition, the company sold one-half the bonds for $159,500 including accrued interest; the remainder were held until maturity. (Analyze the specific outcomes and write an analysis directed toward the team at AJ Corporation describing what the numbers mean and how they relate to the business.)