Determine the equity at the end of the year
At the beginning of the year, Logan Comapny's assets are $200,000 and its equity is $150,000. During the year, assets increase $70,000 and liabilities increase $30,000. What is the equity at the end of the year?
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Elite Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $300,000 cost with an expected four-year life.
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Business has been brisk during its first three years of operations, and since going public in 2000, the market value of its stock has tripled. The first sign of trouble came in 2013 when the new sales dipped sharply.
What would be the change in the dollar amount of inventory on December 31, 2001 if the variable costing method was used instead of the absorbption costing method?
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he anticipates that the business will be profitable immediately due to a patent he holds. He predicts that profits for the first year will be about $300,000 and will increase at a rate of about 20%.
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