Thornton Industries began construction of a warehouse on July 1, 2016. The project was completed on March 31, 2017. No new loans were required to fund construction. Thornton does have the following two interest-bearing liabilities that were outstanding throughout the construction period:
- $2,000,000, 8% note
- $8,000,000, 4% note
Construction expenditures incurred were as follows:
- July 1, 2016 $400,000
- Sep 30, 2016 600,000
- Nov 30, 2016 600,000
- Jan 30, 2017 540,000
The company's fiscal year-end is December 31.
Required: Calculate the amount of interest capitalized for 2016 and 2017.
Answers: 1
Another question on Business
Business, 22.06.2019 15:30
University hero is considering expanding operations beyond its healthy sandwiches. jim axelrod, vice president of marketing, would like to add a line of smoothies with a similar health emphasis. each smoothie would include two free health supplements such as vitamins, antioxidants, and protein. jim believes smoothie sales should fill the slow mid-afternoon period. adding the line of smoothies would require purchasing additional freezer space, machinery, and equipment. jim provides the following projections of net sales, net income, and average total assets in support of his proposal. sandwichesonly sandwiches and smoothies net sales $ 750,000 $ 1,350,000 net income 120,000 210,000 average total assets 350,000 750,000 return on assetschoose numerator ÷ choose denominator = return on assets÷ = return on assets÷ = profit margin÷ = profit margin÷ = asset turnover÷ = asset turnover÷ = times
Answers: 2
Business, 22.06.2019 20:20
Faldo corp sells on terms that allow customers 45 days to pay for merchandise. its sales last year were $325,000, and its year-end receivables were $60,000. if its dso is less than the 45-day credit period, then customers are paying on time. otherwise, they are paying late. by how much are customers paying early or late? base your answer on this equation: dso - credit period = days early or late, and use a 365-day year when calculating the dso. a positive answer indicates late payments, while a negative answer indicates early payments.a. 21.27b. 22.38c. 23.50d. 24.68e. 25.91b
Answers: 2
Business, 22.06.2019 23:40
8. problems and applications q8there are four consumers willing to pay the following amounts for haircuts, and there are four haircutting businesses with the following costs: consumers' willingness to payyvette: $35cho: $15sean: $45bob: $25firms' costsfirm a: $40firm b: $20firm c: $10firm d: $30each firm has the capacity to produce only one haircut.for should be given.which businesses should cut hair? check all that apply.firm afirm bfirm cfirm dwhich consumers should have their hair cut? check all that apply.bobchoseanyvettethe maximum possible total surplus is
Answers: 3
You know the right answer?
Thornton Industries began construction of a warehouse on July 1, 2016. The project was completed on...
Questions
Mathematics, 10.12.2019 21:31
Chemistry, 10.12.2019 21:31
History, 10.12.2019 21:31
Law, 10.12.2019 21:31
English, 10.12.2019 21:31
History, 10.12.2019 21:31
Biology, 10.12.2019 21:31
History, 10.12.2019 21:31
