Essay
Use the following Assets section of Hu Corporation's balance sheets for the years ended December 31, 2015 and
2014 to answer the questions that follow.
HU CORPORATION
Assets Section of Consolidated Balance Sheets in millions
at December 31,2015 2014
ASSETS Current Assets
$1,889 and $97
Hu Corporation recorded depreciation expense of $344 million for 2014.
-Refer to the information for Hu Corporation.
Required:
Calculate the following ratios for Hu for 2015.
A. Average life of property, plant, and equipment
B. Average age of property, plant, and equipment
C. What information do these ratios provide to investors and creditors?
Correct Answer:
Verified
A. Average Life = Property,Plant,And Equ...View Answer
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Correct Answer:
Verified
View Answer
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