contestada

Rotweiler Obedience School’s December 31, 2009, balance sheet showed net fixed assets of $1,271,006, and the December 31, 2010, balance sheet showed net fixed assets of $2,108,650. The company’s 2010 income statement showed a depreciation expense of $171,813. What was Rotweiler’s net capital spending for 2010?

Respuesta :

Answer:

The answer is "[tex]\$1,009,457[/tex]".

Explanation:

The net fixed asset starting value [tex]= \$1,271,006[/tex]

The net fixed asset ending value[tex]= \$2,108,650[/tex]

The expense of the depreciation  [tex]= \$171,813[/tex]

[tex]\text{Net Capital Spending = The net fixed asset ending value} - \text{The net fixed asset starting value} + \text{The expense of the depreciation} \\\\[/tex]

                                   [tex]= \$2,108,650 - \$1,271,006 + \$171,813\\\\= \$1,009,457[/tex]