Wilson Owned Equipment with an Estimated Life of 10 Years

question 43

Multiple Choice

Wilson owned equipment with an estimated life of 10 years when it was acquired for an original cost of $80,000. The equipment had a book value of $50,000 at January 1, 2012. On January 1, 2012, Wilson realized that the useful life of the equipment was longer than originally anticipated, at ten remaining years.
On April 1, 2012 Simon Company, a 90% owned subsidiary of Wilson Company, bought the equipment from Wilson for $68,250 and for depreciation purposes used the estimated remaining life as of that date. The following data are available pertaining to Simon's income and dividends:
Compute Wilson's share of income from Simon for consolidation for 2014.

• A) $118,825.
• B) $115,000.
• C) $117,000.
• D) $119,000.
• E) $118,800.

Grasp the differences between Maslow's hierarchy of needs and how it applies to workplace motivation and productivity.

Recognize the theoretical distinctions between McGregor's Theory X and Theory Y and their implications for management effectiveness.

Comprehend the role of psychological and physiological needs in shaping employee motivation and behavior.

Understand the principles of deficit and progression as they relate to motivation according to Maslow.

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Definitions:

Technical Data Sheet

A document providing essential technical information and specifications about a product, material, or system, intended to guide users or inform regulatory compliance.

Basis of Bargain

The fundamental agreement between parties that forms the foundation of a contract or negotiation.

No Privity

A legal doctrine indicating that a contract cannot confer rights or impose obligations upon any person who is not a party to the contract.

Assumption of Risk

A legal principle where a person knowingly and voluntarily assumes the risk of an activity, potentially limiting their right to claim damages.