Phoenix Agency leases office space for $7,000 per month. On January 3, Phoenix incurs $65,000 to improve the leased office space. These improvements are expected to yield benefits for 8 years. Phoenix has 5 years remaining on its lease. Compute the amount of expense that should be recorded the first year related to the improvements.
A. $65,000.
B. $6,000.
C. $8,125.
D. $13,000.
E. $20,000.
Answer: D
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Baxter Company reported a net loss of $13,000 for the year ended December 31 . During the year, accountsreceivable decreased by $5,000, merchandise inventory increased by $8,000, accounts payable increased by$10,000, and depreciation expense of $4,000 was recorded. During the year, operating activities
a. provided net cash of $8,000 b. provided net cash of $2,000 c. used net cash of $8,000 d. used net cash of $2,000
Chad wants to build a start-up company with a small number of people working for him. He decides to do all the hiring himself. Lucas, a friend of Chad's who is a lawyer, warns Chad about the risk of discrimination complaints he could receive from applicants who are not hired. Which statement best expresses the basis of Lucas's concern about avoiding discrimination?
A. Interviews are expensive, so their validity and reliability are always in question. B. Interviews are narrow and standardized, so they do not allow interviewers to test the integrity of interviewees with ease. C. Interviews are situational, so they provide a means to check the accuracy of information provided by the candidate. D. Interviews require polygraph tests, which give the interviewer an opportunity to ask questions that can violate the privacy rights of the interviewee. E. Interviews are subjective, so they have the potential of assessing candidates based on questions not related to the job.
Civil liability under Section 11 is imposed on those who are negligent in not discovering fraud in their security offerings.
Answer the following statement true (T) or false (F)
Consider a firm with an annual net income of $20 million, revenue of $60 million and cost of goods sold of $25 million
If the balance sheet amounts show $2 million of inventory and $500,000 of property, plant & equipment, what is the inventory turnover? A) 12.50 B) 10.00 C) 42.00 D) 4.16 E) 20.00