Assessing Reseаrch аnd Develоpment Expenses Abbоtt Lаbоratories reports the following income statement (in partial form): Year ended December 31 ($ millions) 2020 Net sales $34,608 Cost of products sold 15,003 Amortization of intangible assets 2,132 Research and development* 2,420 Selling, general and administrative 9,696 Total operating cost and expenses 29,251 Operating earnings $5,357 * including acquired in-process and collaborations R&D a. Compute the percent of net sales that Abbott Laboratories spends on research and development (R&D). Round answer to two decimal places (i.e., 0.14265 = 14.27%) {#1}% b. Using the financial statement effects template, describe how the accounting for R&D expenditures affects Abbott Laboratories’ balance sheet and income statement.Enter answers in millions, as shown above. Use negative signs with answers, when appropriate. Transaction Cash Asset + Noncash Assets - Contra Assets = Liabilities + Contr. Capital + Earned Capital Revenue - Expenses = Net income R & D expenditures {#2} {#3} {#4} {#5} {#6} {#7} {#8} {#9} {#10}
Cоmputing аnd Cоmpаring PPE Turnоver for Two Compаnies Texas Instruments Incorporated and Intel Corporation report the following information: Texas Instruments Intel Corp ($ millions) Sales PPE, net Sales PPE, net 2020 $14,461 $3,269 $77,867 $56,584 2019 14,383 3,303 71,965 55,386 Compute the 2020 PPE turnover for both companies. Round answers to two decimal places.Texas Instruments {#1} Intel Corp. {#2}
Cоmputing Depreciаtiоn Under Strаight-Line аnd Dоuble-Declining-Balance for Partial Years A machine costing $218,700 is purchased on May 1, Year 1. The machine is expected to be obsolete after three years (36 months) and, thereafter, no longer useful to the company. The estimated salvage value is $8,100. Compute depreciation expense for both Year 1 and Year 2 under each of the following depreciation methods: a. Straight-line (Round to nearest dollar) Year 1 ${#1} Year 2 ${#2} b. Double-declining-balance (Round to nearest dollar) Year 1 ${#3} Year 2 ${#4}