Recover Co. has the following assets: Land used as plant site 50,000 Land and building classified as “held for sale assets” 780,000 Building used as office 500,000 Building rented out under an operating lease 420,000 Equipment being sold in the ordinary course of business 330,000 Office furniture 24,000 Fixtures and signage 10,000 Machinery 12,000 Automobiles (used by company officers) 350,000 Delivery trucks (used by the shipping department) 420,000 Computers 70,000 Aircraft rented out to various clients 690,000 Dairy cattle (held to produce milk that is sold to customers) 10,000 Harvested milk 3,000 Apple trees (held to bear fruits that are sold to customers) 6,000 Harvested apples 2,000 How much is the total of assets classified as property, plant and equipment?
Recover Co. has the following assets: Land used as plant site 50,000 Land and building classified as “held for sale assets” 780,000 Building used as office 500,000 Building rented out under an operating lease 420,000 Equipment being sold in the ordinary course of business 330,000 Office furniture 24,000 Fixtures and signage 10,000 Machinery 12,000 Automobiles (used by company officers) 350,000 Delivery trucks (used by the shipping department) 420,000 Computers 70,000 Aircraft rented out to various clients 690,000 Dairy cattle (held to produce milk that is sold to customers) 10,000 Harvested milk 3,000 Apple trees (held to bear fruits that are sold to customers) 6,000 Harvested apples 2,000 How much is the total of assets classified as property, plant and equipment?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Recover Co. has the following assets:
| Land used as plant site | 50,000 |
| Land and building classified as “held for sale assets” | 780,000 |
| Building used as office | 500,000 |
| Building rented out under an operating lease | 420,000 |
| Equipment being sold in the ordinary course of business | 330,000 |
| Office furniture | 24,000 |
| Fixtures and signage | 10,000 |
| Machinery | 12,000 |
| Automobiles (used by company officers) | 350,000 |
| Delivery trucks (used by the shipping department) | 420,000 |
| Computers | 70,000 |
| Aircraft rented out to various clients | 690,000 |
| Dairy cattle (held to produce milk that is sold to customers) | 10,000 |
| Harvested milk | 3,000 |
| Apple trees (held to bear fruits that are sold to customers) | 6,000 |
| Harvested apples | 2,000 |
How much is the total of assets classified as property, plant and equipment?
a. 2,132,000 c. 2,142,000
b. 2,126,000 d. 2,148,000
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