QUIZ 1 - Question 1 Score 1/1 Grab Manufacturing Co...

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Question 1: Score 1/1 Grab Manufacturing Co. purchased a ten-ton draw press at a cost of $180,000 with terms of 5/15, n/45. Payment was made within the discount period. Shipping costs were $4,600, which included $200 for insurance in transit. Installation costs totaled $12,000, which included $4,000 for taking out a section of a wall and rebuilding it because the press was too large for the doorway. The capitalized cost of the ten-ton draw press is: Your Answer: Choice Selected $187,600. Selected $185,760. $183,600. $171,000. Feedback: Question 2: Score 1/1 On July 1, 2009, Larkin Co. purchased a $400,000 tract of land that is intended to be the site of a new office complex. Larkin incurred additional costs and realized salvage proceeds during 2009 as follows: What would be the balance in the land account as of December 31, 2009?
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Your Answer: Choice Selected $400,000. $477,000. Selected $487,000. $475,000. Feedback: Question 3: Score 1/1 Cantor Corporation acquired a manufacturing facility on four acres of land for a lump-sum price of $8,000,000. The building included used but functional equipment. According to independent appraisals, the fair values were $4,500,000, $3,000,000, and $2,500,000 for the building, land, and equipment, respectively. The initial values of the building, land, and equipment would be: Your Answer: Choice Selected $4,500,000, $3,000,000, $2,500,000. $4,500,000, $3,000,000, $500,000. $3,600,000, $2,400,000, $2,000,000. Selected None of these. Feedback:
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Question 4: Score 1/1 Assets acquired by the issuance of equity securities are valued based on: Your Answer: Choice A. or B. above, whichever is smaller. The fair value of the equity securities. Their fair values. A. or B. above, whichever is more reasonably determinable. Selected Question 5: Score 1/1 The fixed-asset turnover ratio provides: Your Answer: Choice The amount of sales generated per dollar of fixed assets. Selected The rate of decline in asset lives. The rate of replacement of fixed assets. The decline in book value of fixed assets compared to capital expenditures.
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This note was uploaded on 05/10/2011 for the course ACCT 121 taught by Professor Yangxiong during the Spring '11 term at CSU Sacramento.

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QUIZ 1 - Question 1 Score 1/1 Grab Manufacturing Co...

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