The difference between book value of the asset with the proceeds received from its sale, will result in:

Q: Demonstrates the difference between depreciation costs as expenses and the cash flow generated by…

A: Depreciation expense: Depreciation expense is a non-cash expense, which is recorded on the income…

Q: With depreciation, the book value of a fixed asset usually ___ __ ___ with the asset's market value

A: Introduction: - Depreciation is a non-cash expense. Depreciation is charged on fixed asset over a…

Q: When applying the equity method, how is the excess of cost over book value accounted for? A) The…

A: The net asset on something like a statement of the financial statement is expressed as the amount by…

Q: What entry is made when selling a fixed asset?

A: Following entry is passed when selling the fixed assets:

Q: Which of the following is (are) acceptable valuation(s) for reporting of assets on the balance…

A: The objective of the question is to identify the correct methods of asset valuation for reporting on…

Q: GAAP provides guidelines for the inclusion of interest in the initial cost of a self-constructed…

A: 1.

Q: The adjusted basis of an asset is the original cost (or basis) plus capital recoveries less capital…

A: Adjusted basis: The amount of original cost, plus additional investments (capital expenditure) and…

Q: Cost of property asset minus accumulated depreciation is equal to net book value.   T/F

A: The depreciation expense is charged on fixed assets as reduced value of the fixed asset with usage…

Q: The book value (or carrying value) of an asset should always match the asset's fair value on the…

A: Assets represents the resources of the entity that are used for revenue generation of the business.

Q: To calculate the an part of the calcula

A: Amount realized means all forms of compensation received by the seller from the buyer. It can be in…

Q: Do I have to include depreciation when computing net present value?

A: Depreciation is said to be none cash expense so there is no out flow of cash when depreciation…

Q: The difference between book value of the asset with the proceeds received from its sale, will…

A: The book value of the asset is the cost of the asset less accumulated depreciation.

Q: According to the historical cost principle, assets are measured at the exchange price at the time…

A: Introduction: As per the historical cost principle is one of basic accounting principle, is a…

Q: A capital expenditure would be: Group of answer choices added to the cost of the asset ignored…

A: The Capital expenditure is that expenditure which is incurred for long term benefits. The benefits…

Q: Fixed assets are ordinarily presented on the balance sheet OO at their current market value under…

A: Fixed assets are ordinarily presented in balance sheet at their cost less accumulated depreciation.…

Q: The book value of an asset is computed as the asset's _____.

A: The assets can be defined as fixed assets and current assets.

Q: When using the fair value method, we adjust the reported amount of the investment for changes in…

A: The sales price agreed by the buyer and seller is termed as Fair value assuming both parties are…

Q: hat is the amount realized in a transaction? The gain on the sale of an asset The proceeds less the…

A: Capital gain is realized from the sale of fixed assets.

Q: When a fixed asset is sold, how is the transaction recorded?

A: Journal entries are used to record the financial transaction into the book of accounts.

Q: Residual value is O a. Present value. O b. Value in use. O . The net cash amount that is received…

A: The fixed assets may have a residual value that can be attained at the end of its life.

Q: An asset is said to be fully depreciated when:

A: An  provided economic benefit these are creating value of addition story enhance the profit…

Q: An impairment loss is recorded when capital asset's   1. net book value is higher than the amount it…

A: Impairment loss is excess of carrying amount of assets over its recoverable amount .  Recoverable…

Q: Which valuation method is dependent on a calculation of terminal value? a) DCF b) Comparable…

A: Option C is correct.

Q: The “carrying value” of a long term asset on the Balance Sheet represents: a. The net book value of…

A: Correct answer-option a:The net book value of the asset

Q: Assuming interest costs related to an asset qualify for interest capitalization, which of the…

A: Option 4 is correct The amount that should be capitalised is the lower of actual interest cost…

Q: e amortized cost for a financial asset

A: Amortized cost is the amount at which financial assets are reported on Balance Sheet.

Q: Explain the difference between pooling of interest and purchase method of accounting for…

A: Amalgamation occurs when two or more entities combine to form a new entity. It is of two types:…

Q: 1. How do we decide whether to capitalize (record as an asset) or expense a particular cost? 2.…

A: ANSWER   Cost: The cost of the long-lived assets refers to all the expenditures made in order to…

Q: the equation for book value is: book value = cost of an asset minus its accumulated depreciation.…

A: Asset: Asset is a resource owned by a company from which future economic benefits are expected to…

Q: When using IFRS, an asset's recoverable value is

A: International financial reporting standards (IFRS) are a set of accounting rules and guidelines that…

Q: On the balance sheet date, the book value (or carrying value) of an asset should always equal the…

A: Book value of an asset is based on the cost of the asset and depreciation charged over time. ie,…

Q: Cost of property asset minus the residual value is equal to net book value.

A: Cost of Property -  It Includes the purchase Price of the Property. stamp duty, and other cost…

Q: The generally accepted accounting principle that supports recording the value of a property at the…

A: Correct answer is option 'D' i.e. cost principle. Explanation:  Under US GAAP As per cost principle…

Q: The book value of an asset is defined as ______

A: The Answer

Q: right of use asset

A: Correct Answer :- C Sale price