{"id":90154,"date":"2022-08-23T15:01:12","date_gmt":"2022-08-23T15:01:12","guid":{"rendered":"https:\/\/assignmenttutors.net\/blog\/q-1-if-a-parcel-of-land-that-was-originally-acquired-for-92500-is\/"},"modified":"2022-08-23T15:01:12","modified_gmt":"2022-08-23T15:01:12","slug":"q-1-if-a-parcel-of-land-that-was-originally-acquired-for-92500-is","status":"publish","type":"post","link":"https:\/\/assignmenttutors.net\/blog\/q-1-if-a-parcel-of-land-that-was-originally-acquired-for-92500-is\/","title":{"rendered":"Q.1 if a parcel of land that was originally acquired for $92,500 is"},"content":{"rendered":"
\n

Q.1<\/p>\n

If a parcel of land that was originally acquired for $92,500 is offered for sale at $145,000, is assessed for tax purposes at $102,500, is recognized by its purchasers as easily being worth $135,000, and is sold for $132,000, the land should be recorded in the purchaser’s books at:<\/p>\n

\u00a0<\/p>\n

$135,000. \u00a0<\/p>\n

$102,500. \u00a0<\/p>\n

$132,000. \u00a0<\/p>\n

$133,500. \u00a0<\/p>\n

$145,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.2<\/p>\n

If a parcel of land that was originally purchased for $90,000 is offered for sale at $160,000, is assessed for tax purposes at $100,000, is recognized by its purchasers as easily being worth $150,000, and is sold for $147,000, the land account transaction amount to handle the sale of the land in the seller’s books is:<\/p>\n

\u00a0<\/p>\n

$90,000 decrease. \u00a0<\/p>\n

$150,000 decrease. \u00a0<\/p>\n

$147,000 decrease. \u00a0<\/p>\n

$90,000 increase. \u00a0<\/p>\n

$147,000 increase.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.3\u00a0<\/p>\n

If a parcel of land that was originally purchased for $90,500 is offered for sale at $149,000, is assessed for tax purposes at $100,500, is recognized by its purchasers as easily being worth $139,000, and is sold for $136,000. What is the effect of the sale on the accounting equation for the seller?<\/p>\n

\u00a0<\/p>\n

Assets increase $45,500; owner’s equity increases $45,500. \u00a0\u00a0<\/p>\n

Assets increase $139,000; owner’s equity increases $139,000. \u00a0<\/p>\n

Assets decrease $90,500; owner’s equity decreases $90,500. \u00a0<\/p>\n

Assets increase $136,000; owner’s equity increases $136,000. \u00a0<\/p>\n

Assets increase $90,500; owner’s equity increases $90,500.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.4<\/p>\n

If a parcel of land that was originally purchased for $95,000 is offered for sale at $140,000, is assessed for tax purposes at $105,000, is recognized by its purchasers as easily being worth $130,000, and is sold for $127,000. At the time of the sale, assume that the seller still owed $20,000 to TrustOne Bank on the land that was purchased for $95,000. Immediately after the sale, the seller paid off the loan to TrustOne Bank. What is the effect of the sale and the payoff of the loan on the accounting equation?<\/p>\n

\u00a0<\/p>\n

Assets increase $12,000; owner’s equity increases $32,000; liabilities decrease $20,000 \u00a0<\/p>\n

Assets increase $32,000; owner’s equity increases $32,000; liabilities decrease $20,000 \u00a0<\/p>\n

Assets decrease $20,000; owner’s equity decreases $20,000; liabilities decrease $20,000 \u00a0<\/p>\n

Assets increase $32,000; owner’s equity increases $20,000; liabilities decrease $20,000 \u00a0<\/p>\n

Assets decrease $95,000; owner’s equity decreases $95,000; liabilities decrease $20,000\u00a0<\/p>\n

\u00a0<\/p>\n

Q.5<\/p>\n

If equity is $280,000 and liabilities are $182,000, then assets equal:\u00a0<\/p>\n

\u00a0<\/p>\n

$462,000. \u00a0 \u00a0<\/p>\n

$98,000. \u00a0<\/p>\n

$182,000. \u00a0<\/p>\n

$742,000. \u00a0<\/p>\n

$280,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q. 6.\u00a0<\/p>\n

If assets are $104,000 and liabilities are $34,500, then equity equals:\u00a0<\/p>\n

\u00a0<\/p>\n

$69,500. \u00a0 \u00a0<\/p>\n

$138,500. \u00a0<\/p>\n

$208,000. \u00a0<\/p>\n

$34,500. \u00a0<\/p>\n

$104,000.\u00a0<\/p>\n

\u2003<\/p>\n

Q.7<\/p>\n

The assets of a company total $640,000; the liabilities, $170,000. What are the claims of the owners?\u00a0<\/p>\n

\u00a0<\/p>\n

$170,000. \u00a0<\/p>\n

$640,000. \u00a0<\/p>\n

It is impossible to determine unless the amount of this owners’ investment is known. \u00a0<\/p>\n

$470,000. \u00a0<\/p>\n

$810,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.8<\/p>\n

On June 30 of the current year, the assets and liabilities of Phoenix, Inc. are as follows: Cash $21,300; Accounts Receivable, $7,650; Supplies, $730; Equipment, $16,000; Accounts Payable, $10,100. What is the amount of owner’s equity as of July 1 of the current year?<\/p>\n

\u00a0<\/p>\n

$10,100 \u00a0<\/p>\n

$21,300 \u00a0<\/p>\n

$16,730 \u00a0<\/p>\n

$45,680 \u00a0<\/p>\n

$35,580 \u00a0\u00a0<\/p>\n

\u00a0<\/p>\n

Q.9<\/p>\n

If the assets of a business increased $91,000 during a period of time and its liabilities increased $63,000 during the same period, equity in the business must have:<\/p>\n

\u00a0<\/p>\n

Decreased $28,000. \u00a0<\/p>\n

Increased $91,000. \u00a0<\/p>\n

Decreased $154,000. \u00a0<\/p>\n

Increased $28,000. \u00a0 \u00a0\u00a0<\/p>\n

Increased $154,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.10<\/p>\n

If the liabilities of a company increased $72,300 during a period of time and equity in the company decreased $20,700 during the same period, what was the effect on the assets?<\/p>\n

\u00a0<\/p>\n

Assets would have increased $51,600. \u00a0 \u00a0 0<\/p>\n

Assets would have decreased $51,600. \u00a0<\/p>\n

Assets would have increased $20,700. \u00a0<\/p>\n

Assets would have decreased $20,700. \u00a0<\/p>\n

None of these.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.11<\/p>\n

If assets are $371,500 and equity is $107,000, then liabilities are:\u00a0<\/p>\n

\u00a0<\/p>\n

$478,500. \u00a0<\/p>\n

$371,500. \u00a0<\/p>\n

$264,500. \u00a0 \u00a0 \u00a0\u00a0<\/p>\n

$107,000. \u00a0<\/p>\n

$636,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.12<\/p>\n

Reston had net income of $130 million and average invested assets of $1,840 million. Its return on assets is (Round your answer to 1 decimal place):\u00a0<\/p>\n

\u00a0<\/p>\n

7.1%. \u00a0 \u00a0 \u00a0\u00a0<\/p>\n

141.5%. \u00a0<\/p>\n

70.7%. \u00a0 \u00a0\u00a0<\/p>\n

14.2%. \u00a0<\/p>\n

29.3%.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.14<\/p>\n

Use the following information as of December 31 to determine equity.<\/p>\n

\u00a0 Liabilities$146,000<\/p>\n

\u00a0 Cash62,000<\/p>\n

\u00a0 Equipment211,000<\/p>\n

\u00a0 Buildings180,000<\/p>\n

\u00a0<\/p>\n

$307,000. \u00a0 \u00a0<\/p>\n

$62,000. \u00a0<\/p>\n

$453,000. \u00a0<\/p>\n

$146,000. \u00a0<\/p>\n

$599,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.15<\/p>\n

Determine the net income of a company for which the following information is available for the month of May.<\/p>\n

\u00a0Employee salaries expense$194,000<\/p>\n

\u00a0Interest expense17,000<\/p>\n

\u00a0Rent expense27,000<\/p>\n

\u00a0Consulting revenue414,000<\/p>\n

\u00a0<\/p>\n

$414,000. \u00a0<\/p>\n

$237,000. \u00a0<\/p>\n

$176,000. \u00a0 \u00a0 \u00a0 \u00a0<\/p>\n

$652,000. \u00a0<\/p>\n

$238,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.16<\/p>\n

Flash had cash inflows from operations $61,000; cash outflows from investing activities of $48,500; and cash inflows from financing activities of $26,500. The net change in cash was:<\/p>\n

\u00a0<\/p>\n

$39,000 increase. \u00a0 \u00a0 \u00a0 \u00a0<\/p>\n

$136,000 decrease. \u00a0<\/p>\n

$136,000 increase. \u00a0<\/p>\n

$39,000 decrease. \u00a0<\/p>\n

$14,000 increase.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.17<\/p>\n

Flash has beginning equity of $260,000, net income of $51,600, withdrawals of $39,400 and investments by owners of $9,000. Its ending equity is:<\/p>\n

\u00a0<\/p>\n

$229,600. \u00a0<\/p>\n

$238,800. \u00a0<\/p>\n

$272,200. \u00a0<\/p>\n

$281,200. \u00a0 \u00a0 \u00a0 \u00a0<\/p>\n

$269,000.\u00a0<\/p>\n

\u00a0<\/p>\n

Q18<\/p>\n

A company reported total equity of $151,000 at the beginning of the year. The company reported $222,000 in revenues and $174,600 in expenses for the year. Liabilities at the end of the year totaled $93,200. What are the total assets of the company at the end of the year?<\/p>\n

\u00a0<\/p>\n

$47,400. \u00a0<\/p>\n

$291,600. \u00a0 \u00a0 \u00a0 \u00a0<\/p>\n

$222,000. \u00a0<\/p>\n

$198,400. \u00a0<\/p>\n

$93,200.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.19<\/p>\n

Della’s Donuts had cash inflows from operating activities of $36,000; cash outflows from investing activities of $31,000, and cash outflows from financing activities of $21,000. Calculate the net increase or decrease in cash. \u00a0<\/p>\n

\u00a0<\/p>\n

$88,000 increase. \u00a0<\/p>\n

$36,000 increase. \u00a0<\/p>\n

$16,000 decrease. \u00a0 \u00a0<\/p>\n

$16,000 increase. \u00a0<\/p>\n

$52,000 decrease.\u00a0<\/p>\n

\u00a0<\/p>\n

Q.20<\/p>\n

Della’s Donuts owner made investments of $59,500 and withdrawals of $21,900. The company has revenues of $84,900 and expenses of $62,100. Calculate its net income.<\/p>\n

\u00a0 \u00a0<\/p>\n

$37,600. \u00a0<\/p>\n

$84,900. \u00a0<\/p>\n

$62,100. \u00a0<\/p>\n

$22,800. \u00a0 \u00a0\u00a0<\/p>\n

$60,400.\u00a0<\/p>\n

\u00a0<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Q.1 If a parcel of land that was originally acquired for $92,500 is offered for sale at $145,000, is assessed for tax purposes at $102,500, is recognized by its purchasers as easily being worth $135,000, and is sold for $132,000, the land should be recorded in the purchaser’s books at: \u00a0 $135,000. \u00a0 $102,500. \u00a0 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[],"class_list":["post-90154","post","type-post","status-publish","format-standard","hentry","category-education"],"_links":{"self":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/posts\/90154","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/comments?post=90154"}],"version-history":[{"count":0,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/posts\/90154\/revisions"}],"wp:attachment":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/media?parent=90154"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/categories?post=90154"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/tags?post=90154"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}