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The following additions were made this year:
1. On September 15, 2024, a convertible is acquired at a cost of $66000 for use by the Vice President of the Company as a passenger vehicle.
2. Some new furniture was purchased at a cost of $15500.
3. On May 1, 2024, Chen Ltd. pays $121000 to enter a franchise agreement. The life of the franchise is 15 years.
4. On November 3, 2024, $161000 of class 53 manufacturing equipment was purchased.
5. On January 1, 2024, $43000 of leasehold improvements were made.
6. New computer hardware was purchased for $18500.
The following disposals were made this year:
1. The photocopier in the separate class 8 was disposed of for $5750. It was original purchased for $30,000.
2. Some old furniture was sold for proceeds of $8000. It was originally purchased for $12500.
3. Some computer hardware was sold for $8000. It was originally purchased on sale for $3650.
4. Some tools (from class 12) were sold for proceeds of $9600. The original cost of these tools was $12,000.
Other notes & information:
1. The Company leases a building for $15,000 per year that houses a portion of its manufacturing operations. The lease was negotiated on January 1, 2019 and has an original term of 10 years. There is one renewal option on the lease, for a period of two years. The company made $84,000 of leasehold improvements immediately after signing the lease. No further improvements were made until the current year.
2. It is the policy of the Company to deduct maximum CCA in all years.
Required: Calculate the maximum 2024 CCA that can be taken on each class of assets, the January 1, 2025 UCC balance for each class, and any other 2024 inclusions or deductions resulting from the information provided in the problem. So use the template of the second screenshot to show answes, and calculations.
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- At December 31, 2023, Sandhill Corp's general ledger includes the following account balances: Copyrights $52500 Deposits with advertising agency (will be used to promote goodwill) 43000 Discount on bonds payable 74000 Excess of cost over fair value of identifiable net assets of acquired subsidiary 589500 Trademarks 106000 In the preparation of Sandhill's balance sheet as of December 31, 2023, what should be reported as total intangible assets? O $158500 O $748000 $791000 O $822000arrow_forwardThe general ledger of Sunland Corporation as of December 31, 2021, includes the following accounts: Copyrights $ 56000 Deposits with advertising agency (will be used to promote goodwill) 33000 Discount on bonds payable 76000 Excess of cost over fair value of identifiable net assets of Acquired subsidiary 540000 Trademarks 71000 In the preparation of Sunland's balance sheet as of December 31, 2021, what should be reported as total intangible assets? $644000. $611000. $667000. $700000.arrow_forwardPresented below are the financial balances for the BonGiovi Company and the TerensCompany as of December 31, 2017, immediately before BonGiovi acquired Terens. Also included are the fair values for Terens Company's net assets at that date (thousands of US$). BonGiovi BV31.12.2017 Terens BV 31.12.2017 Terens FV 31.12.2017Cash 870 240 240Receivables 660 600 600Inventory 1,230 420 580Land 1,800 260 250Buildings (Net) 1,800…arrow_forward
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