The tinsley company exchanged land that it had been holding for future plant expansion for a more suitable parcel located farther from residential areas. tinsley carried the land at its original cost of $87,500. according to an independent appraisal, the land currently is worth $210,000. tinsley paid $30,000 in cash to complete the transaction. required: 1. what is the fair value of the new parcel of land received by tinsley assuming the exchange has commercial substance? 2. prepare the journal entry to record the exchange assuming the exchange has commercial substance. 3. prepare the journal entry to record the exchange assuming the exchange lacks commercial substance. 4. prepare the journal entry to record the exchange except that tinsley received $42,000 in the exchange, and the exchange lacks commercial substance.

Suppose your rich uncle gave you $50,000, which you plan to use for graduate school. you will make the investment now, you expect to earn an annual return of 6%, and you will make 4 equal annual withdrawals, beginning 1 year from today. under these conditions, how large would each withdrawal be so there would be no funds remaining in the account after the 4th withdraw?

crow design, inc. is a web site design and consulting firm. the firm uses a job order costing system in which each client is a different job. crow design assigns direct labor, licensing costs, and travel costs directly to each job. it allocates indirect costs to jobs based on a predetermined overhead allocation rate, computed as a percentage of direct labor costs. direct labor hours (professional) 6,250 hours direct labor costs ($1,800,000 support staff salaries ,000 computer ,000 office ,000 office ,000 in november 2012, crow design served several clients. records for two clients appear here: delicious treats mesilla chocolates direct labor 700 hours 100 hours software licensing $ 4,000 $400 travel costs 8,000 1. compute crow design’s direct labor rate and its predetermined indirect cost allocation rate for 2012. 2. compute the total cost of each job. 3. if simone wants to earn profits equal to 50% of service revenue, how much (what fee) should she charge each of these two clients? 4. why does crow design assign costs to jobs?

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