ACC 306 WEEK 2 DQ 2 ETHICS CASE 15 4 ASH COURSE Essay

ACC 306 WEEK 2 DQ 2 ETHICS CASE 15 4 ASH COURSE
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ACC 306 WEEK 2 DQ 2 ETHICS CASE 15 4 ASH COURSE
Ethics Case 15–4 – American Movieplex – Leasehold improvements ? LO3
American Movieplex, a large movie theater chain, leases most of its theater facilities. In conjunction with recent operating leases, the company spent $28 million for seats and carpeting. The question being discussed over break- fast on Wednesday morning was the length of the depreciation period for these leasehold improvements. The com- pany controller, Sarah Keene, was surprised by the suggestion of Larry Person, her new assistant.
Keene: Why 25 years? We’ve never depreciated leasehold improvements for such a long period.
Person: I noticed that in my review of back records. But during our expansion to the Midwest, we don’t need expenses to be any higher than necessary.
Keene: But isn’t that a pretty rosy estimate of these assets’ actual life? Trade publications show an average depreciation period of 12 years.
Required:
1. How would increasing the depreciation period affect American Movieplex’s income2. Does revising the estimate pose an ethical dilemma3. Who would be affected if Person’s suggestion is followedHome Work Hour aims to provide quality study notes and tutorials to the students of ACC 306 Week 2 DQ 2 Ethics Case 15 4 Ash Course in order to ace their studies.ACC 306 WEEK 2 DQ 2 ETHICS CASE 15 4 ASH COURSE
To purchase this visit here:
http://www.nerdypupil.com/product/acc-306-week-2-dq-2-ethics-case-15-4-ash-course/
Contact us at:
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ACC 306 WEEK 2 DQ 2 ETHICS CASE 15 4 ASH COURSE
Ethics Case 15–4 – American Movieplex – Leasehold improvements ? LO3
American Movieplex, a large movie theater chain, leases most of its theater facilities. In conjunction with recent operating leases, the…

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