The following expenditures relating to plant assets were made by Watkens Company during the first 2 months of 2014. a. Paid $5,000 of accrued taxes at time plant site was acquired.
b. Paid $200 insurance to cover possible accident loss on new factory machinery while the machinery was in transit.
c. Paid $850 sales taxes on new delivery truck.
d. Paid $17,500 for parking lots and driveways on new plant site.
e. Paid $250 to have company name and advertising slogan painted on new delivery truck.
f. Paid $8,000 for installation of new factory machinery.
g. Paid $900 for one-year accident insurance policy on new delivery truck.
h. Paid $75 motor vehicle license fee on the new truck.

Required:
Explain the application of the historical cost principle in determining the acquisition cost of plant assets.

Presented below is a list of possible transactions. analyze the effect of the 18 transactions on the financial statement categories indicated. transactions assets liabilities owners’ equity net income 1. purchased inventory for $80,000 on account (assume perpetual system is used). 2. issued an $80,000 note payable in payment on account (see item 1 above). 3. recorded accrued interest on the note from item 2 above. 4. borrowed $100,000 from the bank by signing a 6-month, $112,000, zero-interest-bearing note. 5. recognized 4 months’ interest expense on the note from item 4 above. 6. recorded cash sales of $75,260, which includes 6% sales tax. 7. recorded wage expense of $35,000. the cash paid was $25,000; the difference was due to various amounts withheld. 8. recorded employer’s payroll taxes. 9. accrued accumulated vacation pay. 10. recorded an asset retirement obligation. 11. recorded bonuses due to employees. 12. recorded a contingent loss on a lawsuit that the company will probably lose. 13. accrued warranty expense (assume expense warranty approach). 14. paid warranty costs that were accrued in item 13 above. 15. recorded sales of product and related service-type warranties. 16. paid warranty costs under contracts from item 15 above. 17. recognized warranty revenue (see item 15 above). 18. recorded estimated liability for premium claims outstanding.

Any point on a country's production possibilities frontier represents a combination of two goods that an economy:

Slow ride corp. is evaluating a project with the following cash flows: year cash flow 0 –$12,000 1 5,800 2 6,500 3 6,200 4 5,100 5 –4,300 the company uses a 11 percent discount rate and an 8 percent reinvestment rate on all of its projects. calculate the mirr of the project using all three methods using these interest rates.