At December 31, 2019, Afro Corp. reported P1.750,000 of appropriated retained earnings for the construction of a new office building, which was completed in 2020 at a total cost of P1,500,000. In 2020. Afro appropriated P1,200,000 of retained carnings for the construction of a new plant. Also, P2,000.000 of cash was restricted for the retirement of bonds due in 2022. In its 2020 balance sheet, Afro should report what amount of appropriated retained carnings? O P2.950.000 O P1.450.000 O P3.200,000 O P1.200.000

At December 31, 2019, Afro Corp. reported P1.750,000 of appropriated retained earnings for the construction of a new office building, which was completed in 2020 at a total cost of P1,500,000. In 2020. Afro appropriated P1,200,000 of retained carnings for the construction of a new plant. Also, P2,000.000 of cash was restricted for the retirement of bonds due in 2022. In its 2020 balance sheet, Afro should report what amount of appropriated retained carnings? O P2.950.000 O P1.450.000 O P3.200,000 O P1.200.000

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter16: Accounting Periods And Methods

Section: Chapter Questions

Problem 15DQ

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On July 1, 2019, Aldrich Company purchased as an available-for-sale security 200,000 face value, 9% U.S. Treasury notes for 194,000. The notes mature July 1, 2020, and pay interest semiannually on January 1 and July 1. The notes were sold on December 1, 2019, for 199,000. Aldrich normally uses straight-line amortization on all of its notes. In its income statement for the year ended December 31, 2019, what amount should Aldrich report as a gain on the sale of the available-for-sale security? a. 2,500 b. 3,500 c. 5,000 d. 6,000
On January 1, 2019, Park Company accepted a 36,000, non-interest-bearing, 3-year note from a major customer in exchange for used equipment. The equipment had originally cost Park 200,000 and had a book value of 20,000 on the date of the sale. At the 12% imputed interest rate for this type of loan, the present value of the note is 25,500 on January 1, 2019. Park uses the effective interest rate. What is the carrying value of the note receivable on Parks December 31, 2019, balance sheet? a. 28,560 b. 29,000 c. 32,500 d. 36,000
At December 31, 2019, Afro Corp. reported P1,750,000 of appropriated retained earnings for the construction of a new office building, which was completed in 2020 at a total cost of P1,500,000. In 2020, Afro appropriated P1,200,000 of retained earnings for the construction of a new plant. Also, P2,000,000 of cash was restricted for the retirement of bonds due in 2022. In its 2020 balance sheet, Afro should report what amount of appropriated retained earnings? P1,450,000 P2,950,000 P1,200,000 P3,200,000
At December 31, 2019, Afro Corp. reported P1,750,000 of appropriated retained earnings for the construction of a new office building, which was completed in 2020 at a total cost of P1,500,000. In 2020, Afro appropriated P1,200,000 of retained earnings for the construction of a new plant. Also, P2,000,000 of cash was restricted for the retirement of bonds due in 2022. In its 2020 balance sheet, Afro should report what amount of appropriated retained earnings? a. P3,200,000 b. P1,200,000 c. P1,450,000 d. P2,950,000
At January 1, 2020, ABC Company reported P1,750,000 of appropriated retained earnings for the construction of a new office building which was completed in 2020 at a total cost of P1,500,000. In 2020, ABC appropriated P1,200,000 of retained earnings for the construction of a new plant. Also, P2,000,000 of cash was restricted for the retirement of bonds due in 2010. In its December 31, 2020 statement of financial position, ABC should report what amount of appropriated retained earnings? (Round answer to whole number)
During 2019, Bing Company constructed its own equipment costing P5,000,000. The weighted average accumulated expenditure on these assets during 2019 was P2,500,000. To help finance the construction, P1, 800,000 was borrowed at 10% on January 1, 2019, and funds not needed for construction were temporarily invested in short-term securities, yielding P45,000 in interest revenue. Other than the construction funds borrowed, the only other debt outstanding during the year was a P2,500,000, 10-year, 9% notes payable dated January 1, 2019. What is the amount of interest that should be capitalized by Bing during 2019?
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17. At December 31, 2019, Afro Corp. reported P1,750,000 of appropriated retained earnings for the construction of a new office building, which was completed in 2020 at a total cost of P1,500,000. In 2020, Afro appropriated P1,200,000 of retained earnings for the construction of a new plant. Also, P2,000,000 of cash was restricted for the retirement of bonds due in 2022. In its 2020 balance sheet, Afro should report what amount of appropriated retained earnings? Group of answer choices P3,200,000 P1,200,000 P2,950,000 P1,450,000
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On January 1, 2018, the Shagri Company began construction on a new manufacturing facility for its own use. Thebuilding was completed in 2019. The only interest-bearing debt the company had outstanding during 2018 waslong-term bonds with a book value of $10,000,000 and an effective interest rate of 8%. Construction expendituresincurred during 2018 were as follows:January 1 $500,000March 1 600,000July 31 480,000September 30 600,000December 31 300,000Required:Calculate the amount of interest capitalized for 2018.
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