each. Milford then sold 700 units at a selling price of $ 15 each. The LIFO liquidation overstated normal gross profit by
26) Milford Company had 400 units of ― Tank ‖ in its inventory at a cost of $ 6 each. It purchased 600 more units of ― Tank ‖ at a cost of $ 9 each. Milford then sold 700 units at a selling price of $ 15 each. The LIFO liquidation overstated normal gross profit by
27) Huff Co. exchanged nonmonetary assets with Sayler Co. No cash was exchanged and the exchange had no commercial substance. The carrying amount of the asset surrendered by Huff exceeded both the fair value of the asset received and Sayler ' s carrying amount of that asset. Huff should recognize the difference between the carrying amount of the asset it surrendered and
28) A machine cost $ 600,000, has annual depreciation of $ 100,000, and has accumulated depreciation of $ 450,000 on December 31, 2014. On April 1, 2015, when the machine has a fair value of $ 137,500, it is exchanged for a machine with a fair value of $ 675,000 and the proper amount of cash is paid. The exchange had commercial substance.
The gain to be recorded on the exchange is
29) Glen Inc. and Armstrong Co. have an exchange with no commercial substance. The asset given up by Glen Inc. has a book value of $ 36,000 and a fair value of $ 45,000. The asset given up by Armstrong Co. has a book value of $ 60,000 and a fair value of $ 57,000. Boot of $ 12,000 is received by Armstrong Co.
What amount should Glen Inc. record for the asset received?
30) Glen Inc. and Armstrong Co. have an exchange with no commercial substance. The asset given up by Glen Inc. has a book value of $ 36,000 and a fair value of $ 45,000. The asset given up by