Deductible: $2000.00 Event 1 Description Tree damage Foundation repairs Repair cost $2,500.00 $25,000.00 Event 2 Which of the reasons listed below is a benefit of paying the entire repair cost of Event 1 out of pocket, without submitting an insurance claim? A. To avoid premium increases C. To avoid deductible changes B. The $500 difference is small D. Claims always cost more
Q: The coinsurance penalty promotes which of the following? Application of the deductible All of the…
A: Coinsurance penalty Coinsurance is a fine that the insurance company imposes on the policyholder if…
Q: Hi, I need help with solving the following problem; thank you: Navarro, Incorporated, plans to…
A: Zero-coupon bond Bonds with zero coupon rates do not accrue interest throughout the course of their…
Q: 1. Let the annual interest rate be 1 %. Compute 37 数字 Enter an answer correct to 6 decimal places.…
A: Annuity is a type of security that pays periodic payments over a fixed period of time. An annuity is…
Q: DIRECTIONS: Read and analyze the following problems and supply what is required and support it with…
A: As per the given information: 7.8% Bonds issued to finance the acquisition = P450,000,000Face value…
Q: Compute the number of years (t) if future value (FV) = $5575, present value (FV) = $1812, and…
A: Future Value (FV) is a financial term used to describe the value of an asset at a future date, given…
Q: Jonathan invested $8,000 eight years ago. The interest rate on his investment changed over time. It…
A: The concept of time value of money will be used to solve this question. Money invested at a point…
Q: (Answers that are Multiples (x) or Percents (%) should be carried to 1 decimal place or 2 if…
A: The long-term debt to total capitalization ratio is calculated by dividing long-term debt by the…
Q: Solve for the unknown number of years in each of the following: (Do not round intermediate…
A: Time value of money concept says that a dollar amount invested today will have more value in future…
Q: A borrower takes out a 5/1 Hybrid ARM for $450,000 with an initial contract interest rate of 3.5%.…
A: A mortgage with an adjustable rate has a variable interest rate based on the loan's outstanding…
Q: tep one payments are showing as $20,00,000.00 instead of $2,000,000. Can you provide an updated…
A:
Q: Use the stock table below to find the year-to-date percentage change Idno Tech (ITX). VOL NET PE…
A: The year-to-date percentage change is a measure of the total yield generated from the start to the…
Q: Real Estate Tax Property Tax Purchase Price Market Value A. $6,720 C. $7,440 2.4% $280,000 $310,000…
A: Property taxes refers to the taxes which are paid to the government or local municipal body by the…
Q: Find the payment necessary to amortize a 12% loan of $2300 compounded quarterly, with 12 quarterly…
A: PMT stands for "payment." In finance and accounting, PMT refers to a fixed payment amount made by a…
Q: The Campbell Company is considering adding a robotic paint sprayer to its production line. The…
A: The cash flows of a company refer to the amount of liquidity that travels in and out of the company…
Q: Homer promises Bart that he will give him $8,000 upon his graduation from college in 13 years at…
A: Present value of investment is the value of investment after discounting them using the required…
Q: Determine the future value in the account: Lottery winnings of $2,900 are invested in a traditional…
A: STEP 1 An annual percentage yield, or APY, measures the amount of money or interest you make on…
Q: Do stocks have known and “provable” intrinsic values, or might different people reach different…
A: A corporation, stock, currency, or product's intrinsic value is the estimated or calculated value…
Q: A business sets up a sinking fund so they will have a $68,000.00 to pay for a replacement piece of…
A: STEP 1 PMT, which stands for "Payment" in finance, is a phrase that describes the set sum of money…
Q: The Investments Fund sells Class A shares with a front-end load of 6% and Class B shares with 12b-1…
A: Given data set Investment fund sells Class-A Shares with front-end load = 6% Class-B shares with…
Q: Consider a project to supply Detroit with 23,000 tons of machine screws annually for automobile…
A: The process that analyzes and evaluates an investment's feasibility is regarded as capital…
Q: Sally has won the grand prize in a lottery and must choose between the following three options:…
A: Answer - Option 1 - Received a Lump Sum Payment of $10,000,000. Option 2 - In Option we will…
Q: Jonabelle is considering investing in bonds. Some data are as follows: Face Value of bonds P…
A: Issue price of bonds would be present value of interest annuity & maturity amount at market rate…
Q: Corporation X can issue straight 5-year debt (bonds) at a yield to maturity of 5%. If a 5-year…
A: Yield to maturity (YTM) is the total return anticipated on a bond if the bond is held until it…
Q: Nicholson Co sells mobile telephones. It supplies its customers with telephones and wireless…
A: STEP 1 When employing a balanced scorecard, perspectives are crucial because they enable businesses…
Q: A risk-neutral dealer believes that a stock's fundamental value is equally likely to be 75 or 125.…
A: This is the model of a market with informed and uninformed traders, known as the Kyle model. In this…
Q: a. From this data, complete Utopia's production possibilities table below. Possibility Cheese Wine A…
A: Please refer to the excel spreadsheet below along with the formulae.
Q: In 2008 CDZ corporation had a total earnings of $500 million and kept 30% of it for future…
A: Price-to-earnings ratio refers to the valuation of a company based on the current share price…
Q: corporated needs a new lathe. It can buy a new high-speed lathe for $1 million. The lathe will cost…
A: Net present value is the most important capital budgeting methods used and is based time value of…
Q: Greg has negotiated a $20,000 price on a new pickup truck. The manufacturer is offering a $1,500…
A: A loan is a sum of money that is borrowed by an individual or organization with the agreement to…
Q: . Bank A: $120,000 . Bank B: $95,000 Bank C: $325,000
A: FDIC is the federal deposit insurance corporation and provide the inusrance for deposits that are…
Q: One of your customers is delinquent on his accounts payable balance. You’ve mutually agreed to a…
A: Accounts payable means money taken by the company from material suppliers. Accounts payable is a…
Q: Luther Industries has 25 million shares outstanding trading at $18 per share. In addition, Luther…
A: Formulae:- Value of equity = number of outstanding shares * trading price. Value of firm = value of…
Q: Consider ABY corp stock. ABY corp stock does not pay a dividend. The risk-free rate is 7%. The…
A: In this question, ABY Corp Stock does not pay a dividend. Risk Free Rate =7% , Market Return = 10%…
Q: gasoline costs 1.69 euro per liter in France. What is the price in dollars per gallon?
A: Exchange rate 1 Euro =US $ 1.09 1 gallon = 3.785411784 liter 1 litre = 0.264172 gallon
Q: The annual inflation rate in the U.S is expected to be 2.68 percent and the annual inflation rate in…
A: The annual inflation rate in the U.S (HUS) is expected to be 2.68 percent. The annual inflation rate…
Q: What is the effective rate (annually compounded rate) of interest corresponding to 9% compounded…
A: The effective annual rate (EAR) is the actual rate of interest that an investment earns over a year,…
Q: What are derivatives? How can derivatives be used to reduce risk? Can derivatives be used to…
A: Derivatives A derivative is a securities whose value is generated from or dependent on one or more…
Q: You are considering purchasing a car in 4 years, anticipating a purchase price of $40,000. a. How…
A: The time value of money is the concept that money received today is worth more than the same amount…
Q: Metalfab Pump and Filter expects the cost of steel bodies for 6-inch valves to increase by $3.75…
A: Present worth is calculated as follows using excel. Given Quarter Period Values of cash flows…
Q: The Peter Corporation and the Sellers Company have both announced IPOs. You place an order for 1,250…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want…
Q: Halliford Corporation expects to have earnings this coming year of $2.99 per share. Halliford plans…
A: As per the dividend growth or the dividend discount model, the share's current price denotes the…
Q: Find the simple interest on $31,200 at 5.25% for 107 days. Assume 360 days in a year and 30 days in…
A: Simple interest is a method of calculating interest where the principal remains the same for each…
Q: Mike Branson invested his summer earnings of $6000 in a savings account for college. The account…
A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…
Q: What is counter party risk How does counterparty risk influence a firm's decision to trade…
A: The exchange traded derivatives are all such derivative switch will be traded on various exchange…
Q: Ricky Ripov’s Pawn Shop charges an interest rate of 18.25 percent per month on loans to its…
A: APR (Annual Percentage Rate) and EAR (Effective Annual Rate) are two ways of measuring the cost of…
Q: The stakeholder capitalism model: typically avoids the flaw of impatient capital. tries to meet…
A: The finance model means s the theoretical and practical framework used to understand the behavior of…
Q: Find the present value of the following future amount. $300,000 at 12% compounded semiannually for…
A: Present Value refers to a concept that states the discounted value or say value at today's time of…
Q: Assume interest rate parity holds. The one-year risk-free rate in the U.S. is 4.98 percent and the…
A: Forward rate can be calculated as = Spot rate x (1+Foreign Country Interest Rate) / (1+ Domestic…
Q: Consider a European call option and a European put option that have the same underlying stock, the…
A:
Q: Q5: Clone Computers assembles and packages personal computer systems from brand-name components. Its…
A: Fixed costs are those costs which will not change with change in activity level. Variable costs…
Insurance claim
A formal request for compensation for damages covered by your insurance policy is known as an insurance claim. An insurance policy is a contract between you and your insurer. You are required to pay a set premium.
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- The Open Grill incurred the following costs in acquiring a new piece of land: Purchase price $80,000 Commissions 4,800 Liability insurance for the first year 1,200 20,000 Cost of removing existing building Sale of salvaged materials (4,000) Total costs $102,000 What is the total capitalized cost of the land? Multiple Choice O O $102,000. $80,000. $100,800. $106,000.Record the following events of Mental Health Clinic, a VHWO:1. A contribution of $20,000 was received and is to be used for the purchase of equipment, but not until an addition to the building is constructed. Construction has begun on the building.2. Equipment costing $17,000, with a book value of $8,000, was sold for $10,000. The gain is unrestricted.3. Depreciation of $9,000 is recorded on various plant items.4. Equipment was purchased for $18,000, with payment due in 30 days from donor-restricted resources. Mental Health Clinic elects to release the donor restriction upon acquisition of the equipment.5. The liability for the equipment purchased in item (4) was paid.3. Donated Assets Brandon's Animal Rescue purchased a green energy system for their animal shelter/hospital. The equipment cost a total of $199,000 , has an estimated life of 40 years, and zero residual value. The provincial government has offered incentives for converting to green energy, and the grant will cover 67% of the asset cost. Brandon's Animal Rescue purchased the equipment on April 15, 2021 and they received the grant onMay 20, 2021. Brandon's Animal Rescue accounts for government grants using the deferral method.Prepare the journal entries for the two transactions above.
- 1. ABC company purchased an equipmentfor P54.000 on 1980. Installation costamounting to P6,000. The equipment areexpected to have a useful life at the end of1996 with a salvage value of 10% of theoriginal cost. Determine the book value atthe end of 1992 by;Straight-line methoda. P 19.000b. P 19.500C. P 20.000d. P 20,500Sinking fund method at 12% interest.a. P 27.354c. P 29.520b. P 30,333d. P 41,2007. On January 1, 2020 Gingerbread, Corp. purchased a reindeer merry-go-round as an attraction to draw customers during the holiday season. The following information is available: Invoice price $280,000 Shipping cost $4,000 Set-up cost $2,000 Insurance to cover years 2020 and 2021 $12,000 Necessary repair during set-up 500 Determine the amount to be record as the capitalized cost of the asset. a.286,000 b.280,000 c.286,500 d.298,500Invoice price |Shipping cost Installation cost Cost to tear down old swing Insurance to cover 2019 and 2020 Necessary repair during installation 261,100 1,100 6,000 200 4,000 2,000 Required 1 Determine the capitalized cost of the asset. Туре of Cost $ Value of Cost Page 1 2 Determine the proper treatment for the following expenditures. Key Capitalize Expense Treatment Oil the gears of the swing each month, $25 Installed new swing seats in year 2, $22,000 Replaced the motor in year 3, $32,000 Repainted the posts in year 3, $600 Spray the swing seats with sanitizer each week, $45 Repaired broken exterior light on two of the swings, $175
- How much should be recorded as the purchase price of theindividual PPE items: For items 11 and 12, identify the amount to be included as Buildingassuming the asset was purchased 11. Fence and landscaping – P500,000 12. Payments to tenants to induce them to vacate the building –P600,000Group Activity 2. On January 1, 2021, Entity A received land with fair of $200,000 from the government conditioned on the construction of a building on the lot. Entity A started immediately the construction and it was completed on December 31, 2021 for a total cost of $1,000,000. The building has an estimated useful life of 10 years and zero residual value. a. How much is the income from government grant in 2021 and 2022, respectively? b. How much is the carrying amount of the building on December 31, 2022 under the gross presentation and net presentation? c. How much is the depreciation expense recognized in 2023 under the gross presentation and net presentation?Problem 4. On January 1, 20x1, ABC CO received land with a fair of ₱200,000 from the government conditioned on the construction of a building on the lot. Entity A started the construction immediately and it was completed on December 31, 20x1 for a total cost of ₱1,000,000. The building has an estimated useful life of 10 years and zero residual value. How much is the income from government grant in 20x1 and 20x2, respectively? How much is the carrying amount of the building on December 31, 20x2 under the gross and net presentations? How much is the depreciation expense recognized in 20x3 under the gross and net presentations?
- Problem 8-17 On mslday Problem 29-9 (PHILCPA Adapted) following information related to the land and building: 50,000,000 450,000,000 in E 75,000,000 Land Building Accumulated depreciation-building for building. On June 30, 2020 the land and building were revalued Replacement cost Sound value 65,000,000 480,000,000 Land w biendie Building 65,000,000 600,000,000 1. What is the revaluation surplus on June 30, 2020? salbling a. 135,000,000 b. 125,000,000 c. 120,000,000 d. 160,000,000 00 2. What is the depreciation of the building for 2020? a. 30,000,000 (6. 35,000,000 le. 40,000,000 d. 32,000,000 3. What is the revaluation surplus on December 31, 2020? (6. 130,000,000 e 123,750,000 d. 115,000,000 et sedW 000,001119- 000008.01 854TB MC Qu. 7-116 (Algo) A building was purchased for... A building was purchased for $66,500. The asset has an expected service life of eight years and depreciation expense each year is $6,000 using the straight-line method. What is the residual value of the building? Multiple Choice O $18,500 $8,312 $0 $13,312Topic: Government Grants Entity A received land with fair value of P 200,000 from the government conditioned with the construction of a building on the lot. Entity A started immediately the construction and it was completed on Dec. 31, 2021 for a total cost of P 1,000,000. The building has an estimated useful life of 10 years with no residual value. How much is income from the government grant in 2021 and 2022? a. P 0 and P 200,000, respectively b. P 0 and P 20,000, respectively c. P 200,000 and P 0, respectively d. P 20,000 and P 20,000, respectively