1) You should create a scenario for 4 separate transactions that address the following issues from Chapters 10 and 11 (you can have a separate sheet for each scenario or one sheet that includes them all):
A.Non-cash purchase of a long-term asset that is unrelated to any natural resource but which includes an asset retirement obligation,
B. One self-constructed asset that will not be completed by the end of the year and for which there is no specific borrowing,
C.One impairment of either goodwill or another long-term asset that is held and used,
D.A change in depreciation – you pick the new remaining life and method to take effect as of the beginning of the second quarter and record entries for 2nd, 3rd, and 4th quarter.
You come up with the backstory and details for these transactions, providing me with a description of the transaction that provides enough detail for me to recalculate your numbers.
Sample Solution
