Liabilities and 2005 Stockholders' Equity Assets 2006 2006 2005 Current Assets Current Liabilities 58.5 Accounts payable Notes payable / 39.6 short – term debt Cash 65 85.8 73.5 Accounts receivable 56.4 10.8 9.6 Current maturities of long - term debt Other current liabilities Total current liabilities Inventories 44.3 42.9 39 36.9 Other current assets 6.1 3.0 6.0 12.0 171.8 144.0 Total current assets 141.6 132.0 Long - Term Liabilities Long - term debt Long - Term Assets 66 62.1 Land 244.4 168.9 Buildings Equipment 109.5 91.5 Capital lease obligations 118.9 99.6 Less accumulated depreciation (55) (52.5) Deferred taxes 22.8 22.2 Net property, plant, and equipment 239.4 200.7 Other long - term liabilities Goodwill 60.0 Total long - term liabilities 267.2 191.1 Other long - term assets 63.0 42.0 Total liabilities 408.8 323.1 242.7 Stockholders' Equity Total long - term assets 362.4 125.4 63.6 Total liabilities and 386.7 Stockholders' Equity Total Assets 534.2 534.2 386.7 Refer to the balance sheet above. What is Luther's net working capital in 2006? A. $30.20 million B. $313.40 million C. $60.40 million O D. $15.10 million

(33) Amortization expense is recorded for: A. A franchise established with a contract that allows for unlimited extensions. B. Intangible assets with a finite life. C. Intangible assets with an indefinite life. D. Goodwill

Please show the solution.

pvn.3

E10.2

b

Walmart Stores, Inc. Property and Equipment ($ in millions) Land Buildings and improvements Fixtures and equipment Transportation equipment Property under capital lease Property and equipment Accumulated depreciation Property and equipment, net January 31, 2015 $ 26,261 97,496 January 31, 2014 $ 26,184 95,488 45,044 42,971 2,807 2,785 5,787 5,661 177,395 173,089 (63,115) (57,725) $114,280 $115,364

Calculate the assessed value of the piece of property:   Assessment rate Market value Assessed value 80% $210,000

$100,000 x 4.79079* = Lease Payments $479,079 Right-of-Use Asset *Present value of an annuity due of $1: n = 6,i = 10%

8.15 Analyzing Disclosures Regarding Fixed Assets. Exhibit 8.21 presents selected financial statement data for three chemical companies: Monsanto Company, Olin Corporation, and NewMarket Corporation. (NewMarket was formed from a merger of Ethyl Corporation and Afton Chemical Corporation.) Exhibit 8.21 Three Chemical Companies' Selected Financial Statement Data on Depreciable Assets (amounts in millions) (Problem 8.15) New Market Corporation Monsanto Olin Company Q Q Depreciable assets at cost: Beginning of year End of year Accumulated depreciation: Beginning of year $752 $4,611 $1,796 777 4,604 1,826 584 2,331 1,301 End of year 611 2,517 1,348 Net income 33 267 55 Depreciation expense 27 328 72 Deferred tax liability relating to depreciable assets: Beginning of year 13 267 83 End of year 9 256 96 Income tax rate 35% 35% 35% Depreciation method for financial reporting Straight-line Straight-line Straight-line Depreciation method for tax reporting Accelerated Accelerated Accelerated