Note: the terms' depreciate' and 'depreciation' are usually used in the UK; 'amortize' and 'amortization' are more common in the USA.

Date: 2015-10-07; view: 430.

Complete the assets table for a UK company with expression from A opposite, and the relevant figures, using the following information:

• Paradigm has gоodwіll, in the form of hundreds of satisfied customers, worth an estimated $5,000. This, is its only intangible asset.

· It has investment of $6,000 in other companies.

· It has raw materials, unfinished goods and finished goods together worth $3,500.

· It owns equipment and machinery with a book value of $9,000.

· It owns land with a book value of $31,000.

· It has $11,000 in its accounts at the bank.

· It owns offices and factories with a book value of $.94,000.

· Various people and organizations, including customers, owe $7,500.

Using the information in B opposite and in the table above, decide it these statements about Paradigm's assets are true or false.

1. The figure for equipment and machinery is the price it was bought for, written down by an amount for depreciation.

2.The figure for equipment and machinery shows that it has been written oft completely.

3. the figure for land and buildings is the exact amount they could definitely be sold fort.

4. The figure for goodwill is an objective value of the customer base that a buyer of the company would definitely agree to pay.