Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. brambles christmas tree farm ltd, grows pine, fir.

Brambles Christmas Tree Farm Ltd, grows pine, fir. and spruce trees. The farm cuts and...

90.2K

Verified Solution

Question

Accounting

image
image
Brambles Christmas Tree Farm Ltd, grows pine, fir. and spruce trees. The farm cuts and sells trees during the Christmas season and exports most of the trees to the United States. The remaining trees are sold to local tree-lot operators. It normally takes 12 years for a tree to grow to a suitable size, and the average selling price of a tree is $25. The biggest costs to the business are pest control, fertilizer, and pruning trees over the 12 year period. These costs average $12 per tree (assume these are incurred evenly over the 12 year growing cycle). (c) Assume that the net realizable value of each tree at the end of 2023 is $10 and the opening value was $7. Prepare the journal entries if the costs are capitalized each year. Assume a cost of $1 per year. (Credit occount titles are outomatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account tities and enter O For the amounts. List all debit entries before credit entries) amount is entered Do not indent manually, If no entry is required, select "No Entry' for the occount tittes and enter Ofor the amounts. List all debit entries before credit entries)

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