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At the end of 20162016?, ZemanZeman?, ?Corp., had total assets of $ 331 comma 80

ID: 2438370 • Letter: A

Question

At the end of

20162016?,

ZemanZeman?,

?Corp., had total assets of

$ 331 comma 800$331,800

and total liabilities of

$ 175 comma 400$175,400.

Included in the assets were? property, plant, and equipment with a cost of

$ 246 comma 000$246,000

and accumulated depreciation of

$ 113 comma 000$113,000.

Also included in the assets were

$ 26 comma 500$26,500

of? patents,

$ 105 comma 000$105,000

of goodwill and

$ 34 comma 100$34,100

of other? long-term assets. During

20162016?,

ZemanZeman?,

?Corp., earned total revenues of

$ 435 comma 100$435,100

and had total expenses of

$ 335 comma 100$335,100.

Requirements

1.

ZemanZeman?,

20162016.

2.

What was the book value of? property, plant, and equipment on that? date?

Requirement 1. Show how

ZemanZeman?,

?Corp., reported? long-term assets on its balance sheet on December? 31,

20162016.

Balance Sheet (partial):

1.

Show how

ZemanZeman?,

?Corp., reported? long-term assets on its balance sheet on December? 31,

20162016.

2.

What was the book value of? property, plant, and equipment on that? date?

Explanation / Answer

Solution 1:

Solution 2:

Book value of propertly plant and equipment = Cost - Accumulated depreciation

= $246,000 - $113,000 = $133,000

Zeman Corp. Balance Sheet (Partial) As of December 31, 2016 Particulars Amount Long term Assets: Property, Plant & Equipment $246,000.00 Less: Accumulated depreciation $113,000.00 $133,000.00 Other long term assets $34,100.00 Intangible Assets: Patents $26,500.00 Goodwill $105,000.00 Total long term assets $298,600.00
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