Calhoun, Inc purchased equipment at the beginning of 2016 for $180,000 . Calhoun decided to depreciate the equipment over a 5-year period using the double-declining-balance method. Calhoun estimated the equipment's residual value at $30,000 . Which of the following statements is correct concerning Rose's financial statements at December 31, 2016?
a. The book value of the equipment is $108,000.
b. The book value of the equipment is $72,000.
c. The total accumulated depreciation is $90,000.
d. Depreciation expense for 2016 is $60,000.
a
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Which of the following would be treated as an extraordinary item?
a. Expropriation of an entity's operations in a foreign country b. The write-down of inventory due to obsolescence c. A loss resulting from a strike by workers against an entity d. The write-off of accounts receivable not expected to be collected
Roland and Kelly were involved in a car accident in which Kelly was badly injured and had to be hospitalized. After investigation, it was found that Roland's negligence was the cause of the accident
He was duly charged with reckless driving, which is classified as a crime. What action should Roland take to avoid being sued by Kelly, who held him liable for her injuries and subsequent hospital bills? A) enter into a plea of nolo contendere B) plead not guilty and go to trial C) enter into a plea bargain with the government and pay a nominal penalty set by the government D) plead guilty and serve the punishment set by the government as it will serve as the all-binding punishment for the crime
Valley Spa purchased $10,900 in plumbing components from Tubman Co. Valley Spa Studios signed a 60-day, 6% promissory note for $10,900. If the note is dishonored, what is the amount due on the note? (Use 360 days a year.)
A. $11,150 B. $109 C. $11,009 D. $11,230 E. $10,900
Turkey Hunting EquipmentAround the beginning of fall each year, about 2.7 million turkey hunters all over the United States start looking at catalogs for the perfect item to guarantee that this year they will kill a wild turkey, the most elusive game bird on the North American continent. The devoted turkey stalker can stock up on everything from camouflaged turkey hunting socks, turkey license plate holders, vests with huge pockets for toting dead birds, and hunting videos to turkey decoys, turkey earrings, and turkey callers. Neil Cost is considered the best manufacturer of turkey callers in the world. It is his only product, and each is highly prized by turkey hunters. It is not unusual for a turkey hunter to pay $5,000 for one of Cost's callers.Refer to Turkey Hunting Equipment. What
kind of strategy does Neil Cost use to select his target market? A. concentrated targeting B. multisegment C. mass marketing D. undifferentiated E. repositioned