HW 6 - 5/12 200,000 9/30 600,000 3/12 150,000 Weighted...

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Jonathan Franco ACCT 311 HW#6 1) a. NBV = (20000 - 13000) = $7000 Sold for cash = $7500 Gain on sale = $7500 – 70000 = $500 b. Cash 7500 Accumulated Depreciation 13000 Van 06-31-DV 20000 Gain on sale 500 2) Date Expenditure x Month Ratio = Weighted Average Expenditure 1/1 500,000 12/12 500,000 3/1 600,000 10/12 500,000 7/30 480,000
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Unformatted text preview: 5/12 200,000 9/30 600,000 3/12 150,000 Weighted average accumulated expenditure 2011: 1,350,000 Calculate the amount of interest capitalized in 2011 Interest rate = 8% Weighted Average Accumulated Expenditure 2011 = 1,350,000 1,350,000 x .08 = 108,000 Interest capitalized = $108000...
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