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Brief Exercise 12-1 Bridgeport Corporation purchases a patent from Ivanhoe Compa

Brief Exercise 12-1 Bridgeport Corporation purchases a patent from Ivanhoe Company on January 1, 2017, for $74,000. The patent has a remaining legal life of 16 years. Bridgeport f…

Brief Exercise 12-1 Each of the items below must be considered in preparing a st

Brief Exercise 12-1 Each of the items below must be considered in preparing a statement of cash flows for Baskerville Co. for the year ended December 31, 2019. For each item, stat…

Brief Exercise 12-1 Novak Corporation purchases a patent from Wildhorse Company

Brief Exercise 12-1 Novak Corporation purchases a patent from Wildhorse Company on January 1, 2017, for $76,000. The patent has a remaining legal life of 13 years. Novak feels the…

Brief Exercise 12-1 Ownbey Corporation purchased debt investments for $65,000 on

Brief Exercise 12-1 Ownbey Corporation purchased debt investments for $65,000 on January 1, 2017. On July 1, 2017, Ownbey received cash interest of $3,800. Journalize the purchase…

Brief Exercise 12-1 Sheffield Corporation purchases o patent from Phsroah Compan

Brief Exercise 12-1 Sheffield Corporation purchases o patent from Phsroah Company on January 1, 2017, for $69,000. The patent has a remaining legal life of 14 years. Sheffield fee…

Brief Exercise 12-10 Treasure Land Corporation incurred the following costs in 2

Brief Exercise 12-10 Treasure Land Corporation incurred the following costs in 2014. $119,050 146,550 223,690 $489,290 Prepare the necessary 2014 journal entry or entries for Trea…

Brief Exercise 12-13 Sinise Industries acquired two copyrights during 2014. One

Brief Exercise 12-13 Sinise Industries acquired two copyrights during 2014. One copyright related to a textbook that was developed internally at a cost of $12,200. This textbook i…

Brief Exercise 12-2 Ayayai Corporation purchases a patent from Blossom Company o

Brief Exercise 12-2 Ayayai Corporation purchases a patent from Blossom Company on January 1, 2017, for $40,000. The patent has a remaining legal life of 16 years. Ayayai feels the…

Brief Exercise 12-2 Ayayai Corporation purchases a patent from Blossom Company o

Brief Exercise 12-2 Ayayai Corporation purchases a patent from Blossom Company on January 1, 2017, for $71,000. The patent has a remaining legal life of 16 years. Ayayai feels the…

Brief Exercise 12-2 Monty Corporation purchases a patent from Sandhill Company o

Brief Exercise 12-2 Monty Corporation purchases a patent from Sandhill Company on January 1, 2017, for $66,000. The patent has a remaining legal life of 16 years. Monty feels the …

Brief Exercise 12-2 On August 1, Shaw Company buys 1,000 shares of Estrada commo

Brief Exercise 12-2 On August 1, Shaw Company buys 1,000 shares of Estrada common stock for $25,000 cash. On December 1, Shaw sells the stock investments for $32,000 in cash. Jour…

Brief Exercise 12-3 Available-for-sale securities [LO12-3] S&L Financial buys an

Brief Exercise 12-3 Available-for-sale securities [LO12-3] S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2013, S&L pur…

Brief Exercise 12-3 Noler Company owns 30% of Lauer Company. For the current yea

Brief Exercise 12-3 Noler Company owns 30% of Lauer Company. For the current year, Lauer reports net income of $182,000 and declares and pays a $65,000 cash dividend. Record Noler…

Brief Exercise 12-3 The following T-account is a summary of the cash account of

Brief Exercise 12-3 The following T-account is a summary of the cash account of Kemper Company. Cash (Summary Form) Balance, Jan. 1 Receipts from customers Dividends on stock inve…

Brief Exercise 12-3 The following T-account is a summary of the cash account of

Brief Exercise 12-3 The following T-account is a summary of the cash account of Kemper Company. Cash (Summary Form) Balance, Jan. 1 7,090 Receipts from customers 362,090 Payments …

Brief Exercise 12-3 The following T-account is a summary of the cash account of

Brief Exercise 12-3 The following T-account is a summary of the cash account of Kemper Company. Cash (Summary Form) 7,400 364,120 Payments for goods Balance, Jan. 1 Receipts from …

Brief Exercise 12-3 The following T-account is a summary of the cash account of

Brief Exercise 12-3 The following T-account is a summary of the cash account of Indigo Corporation. Cash (Summary Form) 7,700 329,500 Payments for goods Balance, Jan. 1 Receipts f…

Brief Exercise 12-3 Thunder Corporation, an amusement park, is considering a cap

Brief Exercise 12-3 Thunder Corporation, an amusement park, is considering a capital investment in a new exhibit. The exhibit would cost $136,000 and have an estimated useful life…

Brief Exercise 12-3 Your answer is partially correct. Try again. The following T

Brief Exercise 12-3 Your answer is partially correct. Try again. The following T-account is a summary of the cash account of Wildhorse Company. Cash (Summary Form) Balance, Jan. 1…

Brief Exercise 12-4 Sunland Company reported net income of $2.2 million in 2017.

Brief Exercise 12-4 Sunland Company reported net income of $2.2 million in 2017. Depreciation for the year was $150,000, accounts receivable decreased $360,800, and accounts payab…

Brief Exercise 12-5 Available-for-sale securities [LO12-4] S&L Financial buys an

Brief Exercise 12-5 Available-for-sale securities [LO12-4] S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2018, S&L pur…

Brief Exercise 12-5 Direct Method Fill in the blank for each of the following si

Brief Exercise 12-5 Direct Method Fill in the blank for each of the following situations. Balance Sheet          Beginning    Ending          Income statement             (Outflow…

Brief Exercise 12-5 Manuel, Inc. reported net income of $1.8 million in 2014. De

Brief Exercise 12-5 Manuel, Inc. reported net income of $1.8 million in 2014. Depreciation for the year was $151,830, accounts receivable decreased $367,770, and accounts payable …

Brief Exercise 12-5 McKnight Company is considering two different, mutually excl

Brief Exercise 12-5 McKnight Company is considering two different, mutually exclusive capital expenditure proposals. Project A will cost $530,306, has an expected useful life of 1…

Brief Exercise 12-5 McKnight Company is considering two different, mutually excl

Brief Exercise 12-5 McKnight Company is considering two different, mutually exclusive capital expenditure proposals. Project A will cost $460,910, has an expected useful life of 1…

Brief Exercise 12-5 On August 1, 2018, Hiroole Ltd. purchased 1,000 Datawave Inc

Brief Exercise 12-5 On August 1, 2018, Hiroole Ltd. purchased 1,000 Datawave Inc. common shares for $46,700 cash with the intention of trading the shares and using the fair value …

Brief Exercise 12-5 The net income for Sandhill Co. for 2017 was $300,200. For 2

Brief Exercise 12-5 The net income for Sandhill Co. for 2017 was $300,200. For 2017, depreciation on plant assets was $64,800, and the company incurred a loss on disposal of plant…

Brief Exercise 12-6 Fair value option; available-for-sale securities [LO12-7] S&

Brief Exercise 12-6 Fair value option; available-for-sale securities [LO12-7] S&L Financial buys and sells securities that it typically classifies as available-for-sale. On De…

Brief Exercise 12-6 Indirect Method Brief Exercise 12-6 Indirect Method For each

Brief Exercise 12-6 Indirect Method Brief Exercise 12-6 Indirect Method For each of the following items, indicate whether it would be added to (A) or deducted from (D) net income …

Brief Exercise 12-6 Indirect Method For each of the following items, indicate wh

Brief Exercise 12-6 Indirect Method For each of the following items, indicate whether it would be added to (A) or deducted from (D) net income to arrive at net cash flow provided …

Brief Exercise 12-6 The comparative balance sheets for Bonita Industries show th

Brief Exercise 12-6 The comparative balance sheets for Bonita Industries show these changes in noncash current asset accounts: accounts receivable decreased $76,800, prepaid expen…

Brief Exercise 12-6 The comparative balance sheets for Crane Company show these

Brief Exercise 12-6 The comparative balance sheets for Crane Company show these changes in noncash current asset accounts: accounts receivable decreased $77,800, prepaid expenses …

Brief Exercise 12-7 Horowitz Company is evaluating the purchase of a rebuilt spo

Brief Exercise 12-7 Horowitz Company is evaluating the purchase of a rebuilt spot-welding machine to be used in the manufacture of a new product. The machine will cost $177,000, h…

Brief Exercise 12-7 Monty Ltd. decided that it needed to update its computer pro

Brief Exercise 12-7 Monty Ltd. decided that it needed to update its computer programs for its supplier relationships. It purchased an off-the-shelf program and modified it interna…

Brief Exercise 12-7 The T-accounts for Equipment and the related Accumulated Dep

Brief Exercise 12-7 The T-accounts for Equipment and the related Accumulated Depreciation-Equipment for Sunland Company at the end of 2017 are shown here. Equipment 142,400 Dispos…

Brief Exercise 12-8 Grouper Corporation purchased Johnson Company 3 years ago an

Brief Exercise 12-8 Grouper Corporation purchased Johnson Company 3 years ago and at that time recorded goodil o $330,000. The Johnson Division's net assets, including the goodwil…

Brief Exercise 12-8 The T-accounts for Equipment and the related Accumulated Dep

Brief Exercise 12-8 The T-accounts for Equipment and the related Accumulated Depreciation-Equip. for Coldsmith Company at the end of 2014 are shown here Equipment Beg. bal Acquisi…

Brief Exercise 12-8 Viera Corporation is considering investing in a new facility

Brief Exercise 12-8 Viera Corporation is considering investing in a new facility. The estimated cost of the facility is $1,564,297. It will be used for 12 years, then sold for $71…

Brief Exercise 12-9 Ayayai, Inc., a private company that applies ASPE, incurred

Brief Exercise 12-9 Ayayai, Inc., a private company that applies ASPE, incurred $14,000 in materials and $11,000 in direct labour costs between January and March 2017 to develop a…

Brief Exercise 12-9 Shamrock Industries had one patent recorded on its books as

Brief Exercise 12-9 Shamrock Industries had one patent recorded on its books as of January 1, 2017. This patent had a book value of $316,800 and a remaining useful life of 8 years…

Brief Exercise 13-10 Flint Inc. is involved in a lawsuit at December 31, 2017. P

Brief Exercise 13-10 Flint Inc. is involved in a lawsuit at December 31, 2017. Prepare the December 31 entry assuming it is probable that Flint will be liable for $966,200 as a re…

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent balance sheets of Bob Evans Farms (in thousands). 2017 2016 $13,700 $9,900 22,900 19,900 30,200 30…

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent balance sheets of Bob Evans Farms (in thousands). 2017 2016 $13,100 $10,800 23,800 20,200 30,200 3…

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent balance sheets of Bob Evans Farms (in thousands). 2017 2016 Cash $12,100 $10,800 Accounts receivab…

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent

Brief Exercise 13-10 Suppose these selected condensed data are taken from recent balance sheets of Bob Evans Farms (in thousands). 2017 2016 Cash $13,200 $10,800 Accounts receivab…

Brief Exercise 13-10 Swifty Inc. is involved in a lawsuit at December 31, 2017 P

Brief Exercise 13-10 Swifty Inc. is involved in a lawsuit at December 31, 2017 Prepare the December 31 entry assuming it is probable that Swifty will be liable for $932,100 as a r…

Brief Exercise 13-11 Crane Company recently was sued by a competitor for patent

Brief Exercise 13-11 Crane Company recently was sued by a competitor for patent infringement. Attorneys have determined that it is probable that Crane will lose the case and that …

Brief Exercise 13-12 Skysong\'s Drillers erects and places into service an off-s

Brief Exercise 13-12 Skysong's Drillers erects and places into service an off-shore oil platform on January 1, 2018, at a cost of $10,490,000. Skysong is legally required to disma…

Brief Exercise 13-12 The following data were taken from the income statements of

Brief Exercise 13-12 The following data were taken from the income statements of Sheridan Company. 2017 2016 S6,395,000 $6,236,000 851,400 4,826,000 4,602,000 1,182,000 954,600 Sa…

Brief Exercise 13-13 Larkspur Factory provides a 2-year warranty with one of its

Brief Exercise 13-13 Larkspur Factory provides a 2-year warranty with one of its products which was first sold in 2017. Larkspur sold 1,044,600 of products subject to the warranty…