P9-28A P10A-9B P11-29A P9-28ASwifty Delivery Service P10A-9BAxel needs new manufacturing equipment P11-29AThe balance sheet of Ballcraft, Inc P9-28AOn January 9,2010, Swifty Delivery Service purchased a truck at a cost of $67,000. Before placing the truck in service, Swifty spent $2,200 painting it, $500 replacing tires, and $5,000 overhauling the engine. The truck should remain in service for 6 years and have a residual value of $14,700. The truck’s annual mileage is expected to be 15,000 miles in each of the first 4 years and 10,000 miles in each of the next 2 years-80,000 miles in total. In deciding which depreciation method to use, Jerry Speers, the general manager, requests depreciation schedule for each of the depreciation methods (straight-line, units-of-production, and double-declining-balance.) Requirements 1. Prepare a depreciation schedule for each deprecation methods, showing asset cost, depreciation expense, accumulated depreciation, and asset book value. 2.Swifty prepares financial statements using the depreciation method that repost the highest net income in the early years of the asset use. For income-tax purposes, the company uses the depreciation method that minimizes income taxes in the early years. Consider the first year that Swifty uses the truck. Identify the depreciation methods that meet the general manager’s objectives, assuming the income tax authorities permit the use of the any of the methods. P10A-9B Axel needs new manufacturing equipment. Two companies can provide similar equipment but under different payment plans: Plan A: MRE offers to let Axel pay $55,000 each year for five years. The payments include interest at 12% per year. Plan B: Westernhome will make a single payment of $425,000 at the end of five years. This payment includes both principal and interest at 12%. Requirements 1. Calculate the present value of Plan A. 2. Calculate the present value of Plan B. 3. Axel will purchase the equipment that costs the least, as measured by present value. Which equipment should Axel select? Why? (Challenge) P11-29AThe balance sheet of Ballcraft, Inc., reported the following: Preferrerd stock, $6 par,6% 5,000 shares authorized and issued $30,000 Common stock $4.00 par value, 45,000 shares authorized; 10,000 shares issued $40,000 Additional paid-in-capital-common 219,000 Total paid-in-capital $289,000 Retained earnings 90,000 Total stockholders’ equity $379,000 Preferred dividends are in arrears for two years, including the current year. On the balance sheet date, the market value of the Ballcraft common stock was $31 per share. Requirements 1. Is the preferred stock cumulative or noncumulative? How can you tell ? 2. What is the total paid-in-capital of the company ? 3. What was the total market value of the common stock ? 4. Compute the book value per share of the common stock?
This question was answered on: Sep 13, 2020Buy this answer for only: $15
This attachment is locked
Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected by .
About this QuestionSTATUS
Sep 13, 2020EXPERT
GET INSTANT HELP/h4>
We have top-notch tutors who can do your essay/homework for you at a reasonable cost and then you can simply use that essay as a template to build your own arguments.
You can also use these solutions:
- As a reference for in-depth understanding of the subject.
- As a source of ideas / reasoning for your own research (if properly referenced)
- For editing and paraphrasing (check your institution's definition of plagiarism and recommended paraphrase).
NEW ASSIGNMENT HELP?
Order New Solution. Quick Turnaround
Click on the button below in order to Order for a New, Original and High-Quality Essay Solutions. New orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.
WE GUARANTEE, THAT YOUR PAPER WILL BE WRITTEN FROM SCRATCH AND WITHIN A DEADLINE.