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Yu Corporation
Use the following Assets section of Yu Corporation's balance sheets for the years ended December 31,2013 and 2012 to answer the questions that follow.
Yu Corporation recorded depreciation expense of $344 million for 2012.
Refer to the information for Yu Corporation.
Required:
(1)Determine the book value of Yu's property,plant and equipment at December 31,2013 and 2012.
(2)What types of transaction(s)could have caused the change in book value of property,plant,and equipment during 2013?
Derivative
A financial tool whose worth derives from the worth of a different asset.
Call Option
A call option is a financial contract giving the buyer the right, but not the obligation, to buy an underlying asset at a specified price within a predetermined time frame.
Economic Exposure
The risk that a company's cash flow and market value may be affected by unexpected changes in exchange rates.
Financial Risk
The possibility of losing money on an investment or business venture.
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