Jamison Company purchased the assets of Booker Company at an auction for $5,600,000. An independent appraisal of the fair value of the assets is listed below: Land $1,900,000 Building 2,800,000 Equipment 2,100,000 Trucks 3,400,000 Assuming Jamison allocates the purchase price on the basis of the relative fair values, what amount would be allocated to the Trucks?

Answer:

$1,866,667

Explanation:

Express the Fair Value of Truck as a parentage of Total Fair Value and multiply by Total Purchase Price

Fair Value of Truck = $3,400,000

Total Fair Value = $1,900,000 + $2,800,000 + $2,100,000 + $3,400,000 = $10,200,000

Cost of Truck = $3,400,000 / $10,200,000 x $5,600,000 = $1,866,667

The amount that would be allocated to the Trucks is $1,866,667

Select the correct answer.

In terms of market research, which statement describes an advantage for businesses?

O Market research agencies always collect accurate market information, regardless of their client's guidance.

O Secondary sources are inexpensive and can meet any business's market research needs.

O Primary research methods, such as interviews, are highly reliable because respondents always give their honest opinions.

A business can explore new market opportunities with the help of accurate market research data.

Submit

The following information was taken from the segmented income statement of Restin, Inc., and the company's three divisions: Restin, Inc. Los Angeles Division Bay Area Division Central Valley Division Revenues $ 750,000 $ 200,000 $ 235,000 $ 325,000 Variable operating expenses 410,000 110,000 120,000 180,000 Controllable fixed expenses 210,000 65,000 75,000 70,000 Noncontrollable fixed expenses 60,000 15,000 20,000 25,000 In addition, the company incurred common fixed costs of $18,000. Assume that the Los Angeles division increases its promotion expense, a controllable fixed cost, by $10,000. As a result, revenues increased by $50,000. If variable expenses are tied directly to revenues, the new Los Angeles segment profit margin is:

Nutcracker, Inc has forecast sales for the next three months as follows: July 4,000 units, August 6,000 units, September 7,500 units. Nutcracker's policy is to have an ending inventory of 40% of the next month's sales needs on hand. July 1 inventory is projected to be 1,500 units. Selling and administrative costs are budgeted to be $15,000 per month plus $5 per unit sold. What are budgeted selling and administrative expenses for July

Despite the heavy reliance on e-mail, in certain situations calling may be the most efficient channel of communication, whether mobile or on your office line. Be sure to understand professional expectations for telephone, cell phone, and voice mail etiquette. Identify the telephone etiquette that will make your telephone calls productive. Check all that apply. Avoid telephone tag. End the call politely. Leave complete voice mail messages. Use a three-point introduction. Be professional and courteous.

Troy Engines, Ltd., manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to sell one type of carburetor to Troy Engines, Ltd., for a cost of $36 per unit. To evaluate this offer, Troy Engines, Ltd., has gathered the following information relating to its own cost of producing the carburetor internally:

Per Unit 15,000 Units Per Year
Direct materials $9 $135,000
Direct labor 11 165,000
Variable manufacturing overhead 2 30,000
Fixed manufacturing overhead, traceable 6* 90,000
Fixed manufacturing overhead, allocated 13 195,000
Total cost $41 $615,000


Required:
a. Assuming that the company has no alternative use for the facilities that are now being used to produce the carburetors, compute the total cost of making and buying the parts.
b. Should the outside supplier's offer be accepted?
c. Suppose that if the carburetors were purchased, Troy Engines, Ltd., could use the freed capacity to launch a new product. The segment margin of the new product would be $105,000 per year. Compute the total cost of making and buying the parts.
d. Should Troy Engines, Ltd., accept the offer to buy the carburetors for $31 per unit?

How much is the value of mortgaged property, owned by a partner when invested in the partnership. Explain

Why do you think women occupy so few seats on boards of directors

d. If money demand does not depend on the interest rate, the LM curve is vertical. True False e. If money demand does not depend on income, the LM curve is horizontal. True False f. If money demand is extremely sensitive to the interest rate, the LM curve is horizontal. True False g. Suppose the government wants to change the level of output. If the LM curve is horizontal, then fiscal policy is completely ineffective, whereas monetary policy is highly effective. monetary policy

Maple Company purchases new equipment (7-year MACRS property) on January 10, 2020, at a cost of $430,000. Maple also purchases new machines (5-year MACRS property) on July 19, 2020 at a cost of $290,000. Maple wants to maximize its MACRS deductions; assume no taxable income limitations apply. What is Maple's total MACRS deduction for 2020

On June 30, 2020, Pier1 Inc. issued 500 shares of $1 common stock for $15 per share. On June 30, 2020, Pier5 Inc. reacquired 100 shares of common stock at $12 per share and immediately retired the shares. On December 15, 2020, Pier5 Inc. reacquired 200 shares of common stock at $19 per share and immediately retired the shares. By what amount did retained earnings decrease as a result of the reacquisition of common stock on December 15, 2020

Answer T or F to the following: _____ In general, job shop operations are larger than line flow operations. _____ In general, job shop operations use more general purpose equipment than line flow operations. _____ In general, job shop operations have higher variety of output than line flow operations. _____ In general, job shop operations have lower labour content than line flow operations. _____ In general, job shop operations are less flexible than line flow operations. _____ In general, job shop operations are more likely to measure their capacity by their outputs. _____ In general, job shop operations have less work in process inventory than line flow operations. _____ In general, job shop operations have higher skilled workers than line flow operations. _____ In general, job shop operations are less likely to compete on cost than line flow operations. _____ In general, job shop operations produce larger volume output than line flow operations.

The world price of a liter of vodka is$7.00. While the distillation is done domestically, some of the grainsand materials for the bottle are imported. The value of imported components is$2.00. Assume that thereis no tariff on imported components used to make vodka.a) (1 points) What is the NRP for vodka if there is a tariff of$3.00

Mary Alice just won the lottery and is trying to decide between the options of receiving the annual cash flow payment option of $420,000 per year for 25 years beginning today, or receiving one lump-sum amount today. Mary Alice can earn 6% investing this money. At what lump-sum payment amount would she be indifferent between the two alternatives

Synder Company uses a standard cost system for its production process and applies overhead based on direct labor hours. The following information is available for May when Synder produced 4,500 units: Standard: DLH per unit 2.50 Variable overhead per DLH $1.75 Fixed overhead per DLH $3.10 Budgeted variable overhead $21,875 Budgeted fixed overhead $38,750 Actual: Direct labor hours 10,000 Variable overhead $26,250 Fixed overhead $38,000 Refer to Synder Company. Using the two-variance approach, what is the noncontrollable variance

At the beginning of 2021, Terra Lumber Company purchased a timber tract from Boise Cantor for $2,950,000. After the timber is cleared, the land will have a residual value of $670,000. Roads to enable logging operations were constructed and completed on March 30, 2021. The cost of the roads, which have no residual value and no alternative use after the tract is cleared, was $228,000. During 2021, Terra logged 570,000 of the estimated 5.7 million board feet of timber. Required: Calculate the 2021 depletion of the timber tract and depreciation of the logging roads assuming the units-of-production method is used for both assets

You have been retained to testify as a damages expert at a binding arbitration about the financial loss your client sustained when a supplier shipped it defective raw materials. Several days before the arbitration proceeding, you discovered that the arbitrator is a member of your country club who occasionally plays golf with you.
a. Do you have a conflict of interest in testifying under oath on behalf of your client?
b. Should you discuss this case with the arbitrator if you see him at the country club?
c. Does the arbitrator have a conflict of interest?

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The NASDAQ is a floor-based exchange.


t or f

United Merchants Company sells 38,000 units at $20 per unit. Variable costs are $14.20 per unit, and fixed costs are $108,000. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) income from operations. a. Contribution margin ratio (Enter as a whole number.) fill in the blank 1 % b. Unit contribution margin (Round to the nearest cent.) $fill in the blank 2 per unit c. Income from operations

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On October 1, 2021, Ivanhoe Company purchased to hold to maturity, 3000, $1000, 8% bonds for $3460000 which includes $50000 accrued interest. The bonds, which mature on February 1, 2030, pay interest semiannually on February 1 and August 1. Ivanhoe uses the straight-line method of amortization. The bonds should be reported in the December 31, 2021 balance sheet at a carrying value of

somebody help pls name two business ethics that the Snack Corner failed to adhere to.​

You find a zero coupon bond with a par value of $10,000 and 24 years to maturity. The yield to maturity on this bond is 4.6 percent. Assume semiannual compounding periods. What is the price of the bond

Money serves three functions in the economy: medium of exchange, unit of account, and store of value.
For each of the following statements about inflation, indicate which function of money inflation is hindering.
Statement Store of value Unit of account Medium of exchange
Inflation erodes money's purchasing power.
Inflation causes menu costs.
In some countries with hyperinflation, prices are posted in terms of U.S. dollars rather than the local currency, even though the local currency is still used to purchase the good.

Eastman Publishing Company is considering publishing an electronic textbook about spreadsheet applications for business. The fixed cost of manuscript preparation, textbook design, and web-site construction is estimated to be $150,000. Variable processing costs are estimated to be $7 per book. The publisher plans to sell single-user access to the book for $49. Through a series of web-based experiments, Eastman has created a predictive model that estimates demand as a function of price. The predictive model is demand

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The Massoud Consulting Group reported net income of $1,382,000 for its fiscal year ended December 31, 2021. In addition, during the year the company experienced a positive foreign currency translation adjustment of $380,000 and an unrealized loss on debt securities of $45,000. The company’s effective tax rate on all items affecting comprehensive income is 25%. Each component of other comprehensive income is displayed net of tax.

Required:
Prepare a separate statement of comprehensive income for 2021.