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Carrying out an audit on a company that own of a subsidiary, the carrying value of which is ٠ million. This is the carryin value at cost in 2007, however the subsidiary only has one asset which is a quarry.
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Connect Financial Accounting Chapter 8. Q1. Cala Manufacturing purchases a large lot on which an old building is loed as part of its plans to build a new plant. The negotiated purchase price is $228,000 for the lot plus $123,000 for the old building. The company pays $40,200 to tear down the old building and $59,426 to fill and level the lot.
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Buying replacement equipment and other business property now might make sense, particularly if the purchase must be financed. While every aggregate producer would like to anticipate demand and get a jump on the competition, no one wants to invest in equipment or other business property that will sit idle regardless of how low financing costs are.
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A variation on the example is when the same business is paid $10,000 in advance to provide sand, gravel or crushed stone during a fourmonth period. In this case, the business should recognize an increment of the advance payment in each of the four months covered by the agreement reflecting the pace at which it is actually earning the payment.
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Anderson Accounting Use of funds it is the most advanced quarrying and fabriion company in Ireland and has all the necessary equipment to produce Quarry Wikipedia, the free encyclopedia Many quarry stones such as marble, granite, limestone and sandstone are cut into larger slabs and removed from the quarry.
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