The Following Information Is Available for Pink Company for 2017

question 41

Essay

The following information is available for Pink Company for 2017:
a. In early April Pink made major repairs to its equipment at a cost of $90,000. These repairs will benefit the remainder of 2017 operations.
b. At the end of May, Pink sold machinery with a book value of $35,000 for $45,000.
c. An inventory loss of $60,000 from market decline occurred in July. In the fourth quarter the inventory had a market value recovery that exceeded the market decline by $30,000.
Required:
Compute the amount of expense/loss that would appear in Pink Company's June 30, September 30, and December 31, 2017, quarterly financial statements.

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Definitions:

Epithelial Tissues

Tissues that form the outer surface of the body and the lining of the digestive, respiratory, urinary, and reproductive systems.

Secretions

Substances produced and released by cells or glands in the body, such as saliva, mucus, or hormones.

Down Syndrome

A genetic disorder caused by the presence of all or part of a third copy of chromosome 21, characterized by physical growth delays, characteristic facial features, and varying degrees of intellectual disability.

Live Births

The birth of a baby that shows any sign of life, such as breathing, heartbeat, or voluntary muscle movements, after separation from the mother's body.