The Nissen Company has a taxation year end of December 31. On January 1 the opening...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The Nissen Company has a taxation year end of December 31. On January 1 the opening UCC of Class 10 was $60,000. The Nissen Company has a policy of always deducting maximum CCA. Calculate the maximum CCA or minimum UCC in the following situations: Remember that CCA is an optional amount meaning that a taxpayer can choose CCA of anywhere between zero and the amount calculated. The maximum CCA would be the amount calculated, which would result in the lowest UCCat the ending of the year. A. An asset was purchased on April 1 for $10,000. Minimum UCC at December 31 is Choose. C. An asset with a capital cost of $100,000 was sold June 30 for $80,000. An asset was purchased for $60.000. Maximum CCA for Class 10 is: Choose. E. The last asset in the class, with a capital cost of $105,000 was sold on July 15 for $125,000. This would glve Choose. rise to: Choose B. An asset was purchased on April 1 for $10,000. Maximum CCA is D. The last asset in the class, with a capital cost of $105.000 was sold on August 1 for $40.000. This would give rise to: Choose Next page The Nissen Company has a taxation year end of December 31. On January 1 the opening UCC of Class 10 was $60,000. The Nissen Company has a policy of always deducting maximum CCA. Calculate the maximum CCA or minimum UCC in the following situations: Remember that CCA is an optional amount meaning that a taxpayer can choose CCA of anywhere between zero and the amount calculated. The maximum CCA would be the amount calculated, which would result in the lowest UCCat the ending of the year. A. An asset was purchased on April 1 for $10,000. Minimum UCC at December 31 is Choose. C. An asset with a capital cost of $100,000 was sold June 30 for $80,000. An asset was purchased for $60.000. Maximum CCA for Class 10 is: Choose. E. The last asset in the class, with a capital cost of $105,000 was sold on July 15 for $125,000. This would glve Choose. rise to: Choose B. An asset was purchased on April 1 for $10,000. Maximum CCA is D. The last asset in the class, with a capital cost of $105.000 was sold on August 1 for $40.000. This would give rise to: Choose Next page
Expert Answer:
Answer rating: 100% (QA)
A The minimum UCC on Dec 31 will be 5950 Explanation Asset purchased 10000 30 10000 ... View the full answer
Related Book For
Intermediate Accounting Reporting and Analysis
ISBN: 978-1285453828
2nd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach
Posted Date:
Students also viewed these accounting questions
-
On January 1 of the current year, Townsend Co. commenced operations. It operated its plant at 100% of capacity during January. The following data summarized the results for January:...
-
On January 1 of the current year, Wright Oil invested $ 7,500,000 to construct an offshore oil platform, and paid cash. As part of its offshore drilling agreement, Wright is responsible for...
-
On January 1 of the current year, ListenUp Telecommunication invested idle cash of $ 12,500,000 in transmission towers and $ 9,000,000 in poles and lines to improve service to its customers. ListenUp...
-
Write a method to take an integer array as a parameter and return how many elements having the same digits in each element in the array for example if we have array 1 1 , 4 4 , 1 4 , 2 3 , 1 2 , 5 6...
-
Just Dresses sets its regular prices based on overhead expenses at 50% of cost and an operating profit of 40% of cost. What will be the operating profit (as a percent of cost) for dresses sold at a...
-
Funtime Co. sold merchandise to Jaffe Company on December 31, FOB shipping point. If the merchandise is in transit on December 31, the end of the fiscal year, which company would report it in its...
-
Reconsider the data from Problem 4. Management has expressed some concern over the life of the project and the impact of possible early termination. As a result, you have developed additional data...
-
Grand Prix Displays Inc. manufactures and assembles automobile instrument panels for both Yokohama Motors and Detroit Motors. The process consists of a just-in-time product cell for each customers...
-
It is argued that decisions made in relatively risk-free environments are not optimal or not efficient. If this assertion is true, can we declare that the decision-making environment constrained by...
-
Given the following sketches, generate an Excel spreadsheet: 1) Count the total degrees of freedom in the sketch. 2) Count the constraints 3) Provide the number of dimensions that are necessary to...
-
How can an organization enter an international market?
-
From the following term document matrix identify a) two similar words and two similar documents. Justify your answer. b)What is the drawback of term document matrix? c)Justify with the help of given...
-
Apply Riemann integrals to physics: Find the location of the CM of a right cone of radius R and height H. (b) Intersect the right cone by a horizontal plane. The part of the cone below the plane is...
-
Let Market Supply for apartments be P=$200+0.5Qs Let Market Demand for apartments be P=$1700-0.75Qd a.) Calculate the amount of Producer Surplus gained if rent control occurred, and the new price was...
-
The graph shows the speed of a car as a function of time. 7 v (m/s) 16 15 14 13 12 11 10 9 7 6 5 4 3 2 1 0 1 2 3 4 5 t(s) Initially the car is at rest. What is the acceleration of the car? Please,...
-
(a) A physics lab instructor is working on a new demonstration. She attaches two identical copper globes with mass m = 0.190 g to strings of length L as shown in the figure. L A m m Both globes have...
-
Ratios, Proportion, and Percent 1.A car requires 33 litres of gasoline to travel for 402 kilometers. At the same rate of gasolineconsumption, how far can the car travel if the gas tank holds 53...
-
Jax Incorporated reports the following data for its only product. The company had no beginning finished goods inventory and it uses absorption costing. $ 57.30 per unit $ 10.30 per unit $ 7.80 per...
-
Mawn Company bought land and built a warehouse during 2016. It improperly debited the following related costs to an account titled Land and Buildings: Land purchase.......................... $ 22,000...
-
Discuss the LIFO cost flow assumption. Under what conditions would a companys ending inventory differ under a perpetual and a periodic LIFO system?
-
Village Company is accounting for a long term construction contract where revenue is recognized over time. The project is built to the customers specifications, and the customer can make changes as...
-
Souvenir Sales. The file SouvenirSales.csv contains monthly sales for a souvenir shop at a beach resort town in Queensland, Australia, between 1995 and 2001. [Source: Hyndman and Yang (2018).] Back...
-
Analysis of Canadian Manufacturing Workers Workhours. The time plot in Figure 18 . 22 describes the average annual number of weekly hours spent by Canadian manufacturing workers...
-
Toys R US Revenues. Figure 18 . 23 is a time plot of the quarterly revenues of Toys R US between 1992 and 1995 (thanks to Chris Albright for suggesting the use of these data, which are available in...
Study smarter with the SolutionInn App