Question: Now assume you were interested in developing a what if scenario. Suppose the numbers were reduced for the following year for the ending market values
Now assume you were interested in developing a "what if” scenario. Suppose the numbers were reduced for the following year for the ending market values of land, buildings and improvements, and machinery fall by 20% but all else stayed the same. Recalculate the balance sheet and financial ratios for this scenario.
1. what is the market ending balance for machinery and equipment?
2. what is the market ending balance for the buildings and improvements?
3. what is the market ending balance for real estate/land?
ORIGINAL BALANCE SHEET BELOW:
| Market Beginning | Market Ending | Market Net Change | |
| Machinery and Equipment | 300,000 | 300,000 | 0 |
| Buildings and Improvements | 100,000 | 100,000 | 0 |
| Real Estate/Land | 1,428,000 | 1,462,500 | 34,500 |
Step by Step Solution
3.53 Rating (156 Votes )
There are 3 Steps involved in it
1 Machinery and equipment Begining 300000 End... View full answer
Get step-by-step solutions from verified subject matter experts
