Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. abc purchase three pieces of equipment from xyz fo

ABC purchase three pieces of equipment from XYZ for $400,000. Given the following information, calculate...

80.2K

Verified Solution

Question

Accounting

ABC purchase three pieces of equipment from XYZ for $400,000. Given the following information, calculate the purchase price of the assets using the relative fair value method.
image
Information on XYZ's Assets Fair Market Equipment Item Book Value Value Item 1 275,000 $ 233,750 Item 2 85,000 72,250 Item 3 150,000 127,500 Totals 510,000 $ 433,500

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Chemistry
1.2K views

Which one of the following will act as a buffer solution? A. 25 ml of 0.1 M...

Mechanical Engineering
1.2K views

Why do the cast iron, carbon steel, and the tempered steel have different behavious about tensile...

Biology
1.2K views

estion 1 Organisms that depend on the energy stored in chemical bonds by other organisms...

Physics
1.2K views

28 Two resistances 102 and 152 are connected in series A cell of e m...

Basic Math
1.2K views

A hummingbird needs 10 grams of sugar and 8 grams of protein each day. One...

Statistics
1.2K views

Select the correct answer for each question s The test pages are attached below for...

Accounting
1.2K views

Ex. 2: During the period A, John Advertising Company receives $1,200 cash from a client....

Accounting
1.2K views

What is a capital asset? What factors affect the determination of whether an asset is...

Accounting
1.2K views

Use the following data to determine the total dollar amount of assets to be classified...

Accounting
1.2K views

The Central Valley Company is a manufacturing firm that produces and sells a single product....

Accounting
1.2K views

The purpose of tests of controls is to determine whether ________. Question 10 options: 1)...

Accounting
1.2K views

Classify the following items into, non -current assets, current assets, longterm assets, current liabilities, revenue,...