Question

The Sales Discounts Forfeited account​ ________.

A.

is a balance sheet account

B.

represents additional sales revenue

C.

is a contra Sales Revenue account

D.

represents the discount lost when a customer does not pay within the discount period

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Which of the following statements is true of the

Sarbanesminus−Oxley

​Act?

A.

All private and foreign companies must issue an internal control report evaluated by an outside auditor.

B.

Accounting firms are allowed to provide both auditing services and a full range of consulting services to their public company clients.

C.

Those who commit securities fraud must be sentenced to 10 years in prison.

D.

The Public Company Accounting Oversight Board oversees the work of auditors of public companies.

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Millburn Corporation has acquired a property that included both land and a building for

$ 520 comma 000$520,000.

The corporation hired an appraiser who has determined that the market value of the land is

$ 360 comma 000$360,000

and that of the building is

$ 490 comma 000$490,000.

At what amount should the corporation record the cost of​ land? (Round any intermediate calculations to two decimal​ places, and your final answer to the nearest​ dollar.)

A.

$ 151 comma 200$151,200

B.

$ 218 comma 400$218,400

C.

$ 317 comma 200$317,200

D.

$ 260 comma 000

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The cost of an asset is $1,110,000​, and its residual value is $100,000.Estimated useful life of the asset is four

years. Calculate depreciation for the first year using the double−declining−balance

method of depreciation.​ (Do not round any intermediate​ calculations, and round your final answer to the nearest​ dollar.)

A.$252,500

B. $277,500

C.$505,000

D. $555,0000

Answer 1

1
The Sales Discounts Forfeited account​ represents the discount lost when a customer does not pay within the discount period
2
The Public Company Accounting Oversight Board oversees the work of auditors of public companies.
3
Proportion of Land to total market value = 360000/(360000+490000)= 0.42
Cost of​ land to be recorded = 520000*0.42 = $218400
4
Double−declining−balance rate = 1/4*2 = 50%
Depreciation for the first year = 1110000*50%= $555000