Wilson & Co. owns land which has cost it $100,000. If a quick sale of the land
Fantastic news! We've Found the answer you've been seeking!
Question:
Wilson & Co. owns land which has cost it $100,000. If a "quick sale" of the land were necessary to generate cash, the Co. feels it would receive only $80,000. The Co. continues to report the asset on the balance sheet at $100,000. Under which of the following concepts is it justified?
The historical-cost principle
The objectivity principle.
Neither of the above.
Both "a" and "b".
Expert Answer:
Answer rating: 100% (QA)
Non Current Assets Assets can be classified into two Current and Non Current Cur... View the full answer
Posted Date:
Students also viewed these accounting questions
-
FT Corporation reported the following amounts on its balance sheet at the start of the year: Short-term investments .................................................. $ 104,000 InvestmentsAssociated...
-
Sporting Apparel Inc. reported the following amounts on its balance sheet at December 31, 2020: ........................................................................................ 2020 Cash and...
-
College Television Company had supplies on its balance sheet at December 31, 2010, of $20,000. The income statement for 2011 showed supplies expense of $50,000. The balance sheet at December 31,...
-
What are the premises for successful paleostress analysis?
-
Quaint Construction, Inc. is a home builder in Arizona. Quaint uses a job order costing system in which each house is a job. Because it constructs houses, the company uses an account titled...
-
The following information concerns production in the Baking Department for March. All direct materials are placed in process at the beginning of production. a. Determine the number of units in work...
-
Segregation of duties is essential to good internal control. Increasingly, computer systems automatically authorize and record transactions, such as generating pur chase orders whenever the quantity...
-
An analysis of the general ledger accounts indicates that delivery equipment, which cost $80,000 and on which accumulated depreciation totaled $36,000 on the date of sale, was sold for $37,200 during...
-
Discuss the impact of Industry 4.0 technologies, such as 3D printing and IoT, on manufacturing and business operations.
-
How might one employee coach or train another employee by use of Twitter and text messaging?
-
At the end of 5 years, Waqa will terminate the nailfile project. It is expected that the plastic moulding machine that was purchased for the project will be sold for $30 000. Removal costs of $650...
-
1. The difference in salary between a college graduate and someone with just a high school diploma over a 40-year career would be $64,137 - $36,318 = $27,819 per year. Over 40 years, this would...
-
Listed below are four potential errors or problems that could occur in the processing of cash transactions. Review each error or problem and using the drop - down answer box located beneath each one,...
-
Let f(x) = -2x - 12x + 3.
-
At the end of January of the current year, the records of Donner Company showed the following for a particular item that sold at $16 per unit: Transactions Units Amount Inventory, January 1 Purchase,...
-
Divide. (18x3 +15x+10x+14)+(3x+1) Write your answer in the following form: Quotient+ Remainder 2 3x +1
-
Link lengths: Crank length, L2 or Lg a= 19.8mm Coupler length, L3 or L5 b1= 19.4 mm Offset of 1, 2, 3, 4 c = 4.5mm Distance from 02 to 08 L1=45.8 mm Coupler length, L5 or L7 b2= 13.3 mm Offset of 1,...
-
The area of a rectangle is 30 cm 2 and its perimeter is 26 cm. Find the length and width of the rectangle.
-
For the gamma regression model of Exercise 5.2, E [ y x ] = exp ( x ) and V [ y x ] = ( exp ( x ) ) 2 / 2 (a) Show that these conditions imply that E [ x { ( y x ) 2 ( exp ( x ) ) 2 /...
-
Consider the linear regression model for data independent over i with y i = x i + u i . Suppose E [ u i x i ] 0 but there are available instruments z i with E [ u i z i ] = 0 and V [ u i z i ]...
-
A nonnegative integer variable \(y\) that is geometric distributed has density (or more formally probability mass function) \(f(y)=(y+1)(2 \lambda)^{y}(1+2 \lambda)^{-(y+0.5)}, y=\) \(0,1,2, \ldots,...
Study smarter with the SolutionInn App