Which of the following statements is incorrect?
a. Adjustments to prepaid expenses, depreciation, and unearned revenues involve previously recorded assets and liabilities.
b. Accrued expenses and accrued revenues involve assets and liabilities that had not previously been recorded.
c. Adjusting entries can be used to record both accrued expenses and accrued revenues.
d. Prepaid expenses, depreciation, and unearned revenues often require adjusting entries to record the effects of the passage of time.
e. Adjusting entries affect the cash account.

Answers

Answer 1

my brain can't process this lol


Related Questions

A company decides to let go of some employees due to a financial crisis. Irena loses her job, while her colleagues with similar performance ratings and productivity retain their jobs. Irena's judgment of her loss when compared to her colleagues' is a perception of

Answers

Answer:

The correct answer is "Procedural unfairness".

Explanation:

A basis for a respondent to challenge constitutional amendments for setting aside legal procedures throughout family legal proceedings will be found procedurally unfair.Throughout the event that a participant challenges a court decision, as well as a basis for the appeal, involves procedural injustice throughout a community court appearance, the privy council should first address the procedural fairness issue.

Jane currently has $5,300 in her savings account and $2,000 in her checking account at the local bank. Instructions:
A. If Jane withdraws $500 in cash from her savings account, by what dollar amount will the country's money supply (M1 and M2) change as a result of Jane's actions?
B. Suppose that after Jane withdraws $500 from her checking account, she uses $180 of this money to pay her federal income tax. After paying her taxes, Jane uses $160 to buy a set of used golf clubs from her neighbor, who then deposits the money into his checking account. Jane deposits the remaining cash from the $500 withdrawal into her savings account. By what dollar amount will the country's money supply change as a result of Jane's actions?

Answers

Answer:

A

M1 change = $500M2 change = $0

B

M1 change = -$340M2 change = -$180

Explanation:

A. M1 includes actual liquid cash in hand as well as cash in checking deposits.

M2 includes M1 as well as savings deposits and time deposits amongst others.

M1 change = +$500

$500 went from the Savings account which was not part of M1 to M1.

M2 change = $0

The money went from Savings to Checking which are both part of M2.

B.

M1 change = -$-180 - ( 500 - 180 -160 ) = -$340

Tax of $180 went out of the supply as tax. Jane deposits the remaining cash after paying $160 for goods into the savings account which is not part of M1. That remaining cash is = 500 - 180 - 160 = $160.

M2 change = -500 + 160 + 160 = -$180

For M2, only taxes will reduce money from it because the rest goes to checking deposits and savings accounts both of which are part of M2

In 3 sentences. Why are open-ended questions helpful when landing a sale? (this is for customer service)

Answers

Answer:

By using open-ended questions, participants are able to express and articulate opinions that may be extreme, unusual, or simply ones that the researcher did not think about when creating the survey. This often provides researchers rich, relevant data for their studies

Explanation:

(hope this helps)

Alexa and David are managers of different sales teams. Together, they decide to have a competition between teams to see who can bring in the most new clients this month. To increase the sense of competition, they create spirit days where they wear team colors (Alexa's team: blue, David's black), strategize ways to beat the other group, and keep a running total of who is winning on a white board. Alexa and David are employing______to increase productivity.
A. Social identity theory.
B. Parasocial interaction theory.
C. Leader-member exchange theory.
D. Vigilant interaction theory.
E. Expectancy theory.

Answers

Answer:

D. Vigilant interaction theory

Explanation:

It is correct to say that Alexa and David are employing the theory of vigilant interaction to increase productivity.

This theory is related to the team's decision-making process, that is, its objective is the integration and collaboration of the entire group with innovative and creative contributions that help in solving problems, helping in a more effective decision-making that contributes for the positive end result of the team.

Therefore, when using the strategy of increasing the sense of competition in the teams, managers seek the theory of vigilant interaction so that the final result and the goals of the teams are achieved.

Discuss the economic conditions and economic institutions that affect personal finance.

Answers

Answer:

Economics and Personal Finance. Instruction in economics and personal finance prepares students to function effectively as consumers, savers, investors, entrepreneurs, and active citizens. Students learn how economies and markets operate and how the United States' economy is interconnected with the global economy.

It costs Bonita Industries $12 of variable and $5 of fixed costs to produce one bathroom scale which normally sells for $35. A foreign wholesaler offers to purchase 3100 scales at $15 each. Garner would incur special shipping costs of $1 per scale if the order were accepted. Bonita has sufficient unused capacity to produce the 3100 scales. If the special order is accepted, what will be the effect on net income?
a. $46500 increase.
b. $6200 increase.
c. $6200 decrease.
d. $9300 decrease.

Answers

Answer:

Effect on income= $6,200 increase

Explanation:

Because it is a special offer, and there is unused capacity, we will not take into account the fixed costs:

Total unitary variable cost= 12 + 1= $13

Selling price per unit= $15

To calculate the effect on income, we need to use the following formula:

Effect on income= number of units*unitary contribution margin

Effect on income= 3,100*(15 - 13)

Effect on income= $6,200 increase

The fictional global firm of Knickerbockers Socks established itself in the international trade industry ten years ago and has been an active participant with intra-industry trade in developed countries. Because of the way Knickerbockers operates, it can take advantage of economies of scale. What do economies of scale make possible for its sock customers

Answers

Answer: c. A large variety of sock styles and sizes at competitive prices.

Explanation:

Economies of scale refers to a scenario that arises with companies that operate on a certain scale that makes their cost per unit decrease as they produce more units of a good.

When this happens, such companies can offer more goods at cheaper prices because they have less costs to cover. Knickerboxers Socks has a economies of scale which allows it to produce a large variety of sock styles that it can sell at cheaper competitive prices.

Blossom Company had the following transactions. 1. Sold land (cost $8,400) for $10,500. 2. Issued common stock at par for $22,200. 3. Recorded depreciation on buildings for $12,200. 4. Paid salaries of $7,400. 5. Issued 1,000 shares of $1 par value common stock for equipment worth $8,100. 6. Sold equipment (cost $13,800, accumulated depreciation $9,660) for $1,656. (a) For each transaction above, prepare the journal entry.

Answers

Answer:

Item 1

Debit : Cash $10,500

Credit : Land $8,400

Credit : Profit and Loss $2,100

Item 2

Debit : Cash $22,200

Credit : Common Stock $22,200

Item 3

Debit : Depreciation Expense $12,200

Credit : Accumulated Depreciation $12,200

Item 4

Debit : Salaries Expense $7,400

Credit : Cash $7,400

Item 5

Debit : Equipment $8,100

Credit : Common Stock $1,000

Credit : Common Stock Paid in Excess of Par $7,100

Item 6

Debit : Cash $1,656

Debit ; Accumulated Depreciation $9,660

Debit : Profit and Loss $2,484

Credit : Cost $13,800

Explanation :

See the entries prepared above.

Note on Sale of Assets :

When a sale of asset is made, derecognize the cost of asset, derecognize the accumulated depreciation, recognize the profit or loss on sale and finally recognize the cash receipts.

Softwind Manufacturing anticipates annual sales of 40,000 units and has the following information regarding one of its products: Annual unit sales 40,000 Fixed manufacturing costs $ 22 Variable manufacturing costs 44 Variable selling and administrative costs 16 Fixed selling and administrative costs 8 Desired profit per unit 18 If Softwind uses cost-plus pricing based on absorption manufacturing cost, what is the sales price Softwind will charge for this product

Answers

Answer:

Selling price= $84

Explanation:

The absorption costing method includes all costs related to production, both fixed and variable. The unit product cost is calculated using direct material, direct labor, and total unitary manufacturing overhead.

The variable costing method incorporates all variable production costs (direct material, direct labor, and variable overhead).

Unitary cost= varaible manufacturing cost + fixed manufacturing cost

Unitary cost= 44 + 22= $66

Selling price= 66 + 18

Selling price= $84

A product sells for $210 per unit, and its variable costs per unit are $130. The fixed costs are $420,000. If the firm wants to earn $35,000 after tax income (assume a 30% tax rate), how many units must be sold

Answers

Answer:

5,688 units

Explanation:

Target sales = Target Profit + Fixed Costs ÷ Contribution per unit

where,

Contribution per unit = Sales - Variable Costs

                                   = $210 - $130 = $80

therefore,

Target sales = ($35,000 + $420,000)  ÷  $80 = 5,688 units

If you travel a lot for work and use cash to pay for most purchases, which type of financial institution would you probably have your
account at?
O credit union
O national or regional bank

Answers

The correct answer is national or regional bank

Treasury Stock Coastal Corporation issued 25,000 shares of $9 par value common stock at $21 per share and 6,000 shares of $54 par value, eight percent preferred stock at $82 per share. Later, the company purchased 3,000 shares of its own common stock at $24 per share. a. Prepare the journal entries to record the share issuances and the purchase of the common shares. b. Assume that Coastal sold 2,000 shares of the treasury stock at $30 per share. Prepare the general journal entry to record the sale of this treasury stock. c. Assume that Coastal sold the remaining 1,000 shares of treasury stock at $19 per share. Prepare the journal entry to record the sale of this treasury stock.

Answers

Answer:

Treasury Stock Coastal Corporation

a. Journal Entries:

Debit Cash $525,000

Credit Common stock $225,000

Credit Additional Paid-in Capital - Common Stock $300,000

To record the issuance of 25,000 shares of $9 par value at $21.

Debit Cash $492,000

Credit 8% Preferred Stock $324,000

Credit Additional Paid-in Capital - Preferred Stock $168,000

To record the issuance of 6,000 shares of $54 par value at $82.

Debit Treasury Stock $27,000

Debit Additional Paid-in Capital - Common Stock $45,000

Credit Cash $72,000

To record the repurchase of 3,000 shares at $24.

b. Journal Entry

Debit Cash $60,000

Credit Treasury Stock $18,000

Credit Additional Paid-in Capital - Common Stock $42,000

To record the re-issuance of 2,000 treasury shares at $30.

c. Journal Entry:

Debit Cash $19,000

Credit Treasury STock $9,000

Credit Additional Paid-in Capital - Common Stock $10,000

To record the re-issuance of 1,000 treasury shares at $19.

Explanation:

a) Data and Calculations:

Cash $525,000 Common stock $225,000 Additional Paid-in Capital - Common Stock $300,000

Cash $492,000 8% Preferred Stock $324,000 Additional Paid-in Capital - Preferred Stock $168,000

Treasury Stock $27,000 Additional Paid-in Capital - Common Stock $45,000 Cash $72,000

b. Cash $60,000 Treasury Stock $18,000 Additional Paid-in Capital - Common Stock $42,000

c. Cash $19,000 Treasury STock $9,000 Additional Paid-in Capital - Common Stock $10,000

Presented below is information related to Pharoah Corporation for the current year. Beginning inventory $ 590,300 Purchases 1,472,500 Total goods available for sale $2,062,800 Sales revenue 2,455,000 Compute the ending inventory, assuming that (a) gross profit is 46% of sales, (b) gross profit is 60% of cost, (c) gross profit is 36% of sales, and (d) gross profit is 25% of cost.

Answers

Answer:

a. $948,888

b. $773,550

c. $1,237,680

d. $412,560

Explanation:

The Ending Inventory is calculated using the missing figure approach or the Gross Margin technique.

that is,

Ending Inventory =  Cost of Goods Available for Sale - Cost of  Sales

thus,

This can be clearly done by writing up a Trading Account as shown below for each scenario.

also remember,

Cost + Profit = Sales

so for those based on cost use this formula.

for example : gross profit is 60% of cost

will be : 100 % + 60 % = 160 %

Part a

Pharoah Corporation

Trading Account for the Year

Sales                                                                                                $2,062,800

Less Cost of Sales

Beginning Inventory                                              $ 590,300

Add Purchases                                                      $1,472,500

Goods Available for Sale                                     $2,062,800

Less Ending Inventory (Balancing amount)         ($948,888)         ($1,113,912)

Gross Profit                                                                                         $948,888

Part b

Pharoah Corporation

Trading Account for the Year

Sales                                                                                                $2,062,800

Less Cost of Sales

Beginning Inventory                                              $ 590,300

Add Purchases                                                      $1,472,500

Goods Available for Sale                                     $2,062,800

Less Ending Inventory (Balancing amount)         ($773,550)      ($1,289,250)

Gross Profit                                                                                         $773,550

Part c

Pharoah Corporation

Trading Account for the Year

Sales                                                                                                $2,062,800

Less Cost of Sales

Beginning Inventory                                              $ 590,300

Add Purchases                                                      $1,472,500

Goods Available for Sale                                     $2,062,800

Less Ending Inventory (Balancing amount)       ($1,237,680)         ($825,120)

Gross Profit                                                                                       $1,237,680

Part d

Pharoah Corporation

Trading Account for the Year

Sales                                                                                                $2,062,800

Less Cost of Sales

Beginning Inventory                                              $ 590,300

Add Purchases                                                      $1,472,500

Goods Available for Sale                                     $2,062,800

Less Ending Inventory (Balancing amount)         ($948,888)         ($1,113,912)

Gross Profit                                                                                         $948,888

Part a

Pharoah Corporation

Trading Account for the Year

Sales                                                                                                $2,062,800

Less Cost of Sales

Beginning Inventory                                              $ 590,300

Add Purchases                                                      $1,472,500

Goods Available for Sale                                     $2,062,800

Less Ending Inventory (Balancing amount)         ($412,560)      ($1,650,240)

Gross Profit                                                                                         $412,560

You have big plans for your first year of business, and you estimate you will need to borrow and spend approximately $1.5 million before your baseball shop becomes self-supporting. You have a friend who started her business with the help of loans guaranteed by the U.S. Small Business Administration (SBA), which of the following statements are true?
a. Not all SBA programs provide for $1.5 million in loans.
b. If you cannot get a bank loan with reasonable terms, the SBA has many different lending programs for which your business might be eligible.
c. If you cannot get a bank loan, the SBA guarantees that you will get a loan through one of its programs.
d. The maximum amount available to your business will depend on the specific SBA program for which your business qualifies.

Answers

Answer:

a. Not all SBA programs provide for $1.5 million in loans.

This statement is correct since not every business is the same, some types of business will require larger amounts than others.  

b. If you cannot get a bank loan with reasonable terms, the SBA has many different lending programs for which your business might be eligible.

This is true, and the business loans have different amounts and requisites that fit into different categories.  

d. The maximum amount available to your business will depend on the specific SBA program for which your business qualifies.

This statement is correct since not every business is the same, some types of business will require larger amounts than others.

Explanation:

Limited partnership is best suited to rising large amount of capital.
True or false?

Answers

the answer is trueeeee

Abeis typically scheduled to operate 3machines at his workstation for 10 hours per day, 4 days per week. During every 10 hours of scheduled work, Abetakes 75minutesof break.Hemust perform 30minutes of maintenance on each machine (separately) during every 10 hours of scheduled work. Abeis unableprocess work while heis performing maintenance.1.What is theworkstation utilization

Answers

A sis is a drug 4 days is me 10 hours

The residents of Vegopia spend all of their income on cauliflower, broccoli, and carrots. In 2020, they spend a total of $200 for 100 heads of cauliflower, $75 for 50 bunches of broccoli, and $50 for 500 carrots. In 2021, they spend a total of $225 for 75 heads of cauliflower, $120 for 80 bunches of broccoli, and $100 for 500 carrots. (25 points) a. Calculate the price of one unit of each vegetable in each year. b. Using 2020 as the base year, calculate the CPI for each year. c. What is the inflation rate in 2021?

Answers

Answer:

siy-epdv-fwo join on meet

UPS, a delivery services company, has a beta of 1.4, and Wal-Mart has a beta of 0.8. The risk-free rate of interest is 4% and the market risk premium (rM-rRF) is 6%. What is the expected return on a portfolio with 40% of its money in UPS and the balance in Wal-Mart?

Answers

Answer:

10.24%

Explanation:

the expected return on a portfolio can be determined using CAPM

According to the capital asset price model: Expected rate of return = risk free + beta x (market rate of return - risk free rate of return)

Beta of the portfolio = (percentage of UPS in portfolio x beta of UPS) + (percentage of Wal-mart in portfolio x beta of Wal - Mart )

(1.4 x 0.4) + (0.8 x 0.6)

= 0.56 + 0.48

= 1.040

Expected return = 4% + (1.040 x 6%) = 10.24%

how can an injection benefit the South African economy​

Answers

“However, amid ongoing socio-political concerns and consumers' disposable income under pressure, what South Africa needs now is an injection of confidence that will stimulate the economy and drive investment. ... Consumer confidence has been dented as household finances have had to adjust to reduced disposable income.

A customer’s specification for weight of an antiseptic cream sold in plastic tubes is 4.00 ounces ± 0.02 ounces. The target process capability ratio is 1.00. At Brooklyn Pharmaceuticals, the current distribution of the filling process is centered on 4.005 ounces with a standard deviation of 0.004 ounces. Compute Cp and Cpk and report whether the filling process is capable of delivering to customer specifications?

Customer Specification 3.98
Process Average 4.005
Process Standard Deviation 0.004

Answers

Answer:

Cp = 1.667

Cpk = 1.25

The filling process will deliver the customer's specifications since Cp > 1 and Cpk > 1

Explanation:

Given data:

Customer Specification           3.98          4.02

Process Average                      4.005

Process Standard Deviation    0.004

Calculate the Cp and Cpk values

Cp = Δ customer specification / ( 6 * std )

     = (4.02 - 3.98 ) / ( 6 * 0.04 )

     = 0.04 / 0.24 = 0.1667 + 1 = 1.667

Cpk ( upper ) = ( 4.02 - process average ) / ( 3* std )

                      = ( 4.02 - 4.005 ) / ( 3 * 0.004 )  = 1.25

Cpk ( lower ) = ( process average - 3.98 ) / ( 3 * std )

                     = ( 4.005 - 3.98 ) / ( 3 * 0.04 ) = 2.083

Cpk = minimum value of Cpk = 1.25

Sibila, Inc. sells its product for $40. The variable costs are $18 per unit. Fixed costs are $16,000. The company is considering the purchase of an automated machine that will result in a $2 reduction in unit variable costs and an increase of $5,000 in fixed costs. Which of the following is true about the break-even point in units?

a. It will remain unchanged
b. It will decrease.
c. It will increase.
d. It cannot be determined from the information provided.

Answers

Answer:

c. It will increase.

Explanation:

Break even point is the level of activity at which a firm neither makes a profit nor a loss.

Break - even units = Fixed Costs ÷ Contribution per unit

therefore,

Existing break-even point in units :

Break - even units = $16,000 ÷ ($40 - $18) = 727.27 or 728 units

New break-even point in units :

Break - even units = $21,000 ÷ ($40 - $16) = 875 units

Conclusion :

The results show that break-even point in units will increase from 728 units to  875 units as a result of the changes

The Low-Price auto insurance company offers a bottom-dollar deal that meets minimum car insurance policy requirements. It creates a marketing message that gives customers information on how expensive other insurances are in comparison. It invites consumers to shop around and compare prices. Low-Price focuses solely on price point and mentions very little about what is covered for that policy. Which type of psychological pricing communication does Low-Price use

Answers

Answer:

Inviting Price Comparison.

Explanation:

In this type of comparison, the company develop two scenarios in which the first situation,  the people compare the product price with the existing product and in the other situation where the company inform the customer to compare the product price with the existing product

Hence, the given situation represent the inviting price comparsion

Labor unions are organizations of employees formed to protect and advance their members' interests by bargaining with management over job-related issues.

a. True
b. False

Answers

Answer:

I think that the correct answer is True

PepsiCo, Inc. (PEP), the parent company of Frito-LayTM snack foods and Pepsi beverages, had the following current assets and current liabilities at the end of two recent years: Year 2 (in millions) Year 1 (in millions) Cash and cash equivalents $ 9,096 $ 6,134 Short-term investments, at cost 2,913 2,592 Accounts and notes receivable, net 6,437 6,651 Inventories 2,720 3,143 Prepaid expenses and other current assets 1,865 2,143 Short-term obligations (liabilities) 4,071 5,076 Accounts payable and other current liabilities 13,507 13,016 a. Determine the (1) current ratio and (2) quick ratio for both years. Round to one decimal place.

Answers

Answer:

Current ratio

Year 1 = 1.3

Year 2 = 1.1

Quick ratio

Year 1 = 1.0

Year 2 = 0.8

Explanation:

Current ratio is the ration of a company's current assets to the current liabilities while the quick ratio is similar to the current asset except that the prepaid expenses and inventories are excluded from the determination of the assets.

Current assets

Year 1 = 9,096 + 2,913 + 6,437 + 2,720 + 1,865

= $ 23,031.00

Year 2 =  6,134 + 2,592 + 6,651 + 3,143 + 2,143

= $ 20,663.00

Current Liabilities

Year 1 = 4,071 + 13,507

= $ 17,578.00

Year 2 = 5,076 + 13,016

= $ 18,092.00

Current ratio

Year 1 = $ 23,031.00/$ 17,578.00

= 1.3 ( to 1 decimal place)

Year 2 = $ 20,663.00/$ 18,092.00

= 1.1 to 1 decimal place

Quick ratio

Year 1

= (23,031.00 - 2,720 - 1,865)/ 17,578.00

= 1.0 to 1 decimal place

Year 2

= (20,663.00 - 3,143 - 2,143)

= 0.8 to 1 decimal place

As 2017, Buttle Corp. has $10 par, 2% preferred stock, 6,500 shares outstanding, and $1 par common stock with 32,000 shares outstanding. The preferred stock is cumulative and preferred stockholders last received a dividend in 2014. If the company wants to distribute $4 per share to the common stockholders in 2017, what is the total amount of dividends that the company must pay at the end of the current year

Answers

Answer:

$131,900

Explanation:

Th computation of the total amount of dividend is shown below:

dividend per year for preferred stock is

= (10 × 6500) × 2%

= $1300

Now the total dividend for preferred stock is

= ($1300 × 3)

= $3900

And, the Total common dividend is

= (4 × 32,000)

= $128,000

So, the total dividend to be paid is

= $3,900 + $128,000

= $131,900

Decision Case F:2-1 Your friend, Dean McChesney, requested that you advise him on the effects that certain transactions will have on his business, A-Plus Travel Planners. Time is short, so you cannot journalize the transactions. Instead, you must analyze the transactions without a journal. McChesney will continue the business only if he can expect to earn a monthly net income of $6,000. The business completed the following transactions during June:
A. McChesney deposited $10,000 cash in a business bank account to start the compan The company issued common stock to McChesney.
B. Paid $300 cash for office supplies.
C. Incurred advertising expense on account, $700.
D. Paid the following cash expenses: administrative assistant's salary, $1,400: office tent, $1,000.
E. Earned service revenue on account, $8,800.
F. Collected cash from customers on account, $1,200.

Answers

Answer:

A-Plus Travel Planners

Analysis of transactions:

A. Cash $10,000 (Increase Assets) Common Stock $10,000 (Increase Equity)

B. Office Supplies $300 (Decrease Profit) Cash $300 (Decrease Assets)

C. Advertising expense $700 (Decrease Profit) Cash $700 (Decrease Assets)

D. Salary expense $1,400 (Decrease Profit) Rent Expense $1,000 (Decrease Profit) Cash $2,400 (Decrease Assets)

E. Accounts Receivable $8,800 (Increase Assets) Service Revenue $8,800 (Increase Profit)

F. Cash $1,200 (Increase Assets) Accounts Receivable $1,200 (Decrease Assets)

Explanation:

a) Data and Calculations:

Expected net income = $6,000

Service Revenue        $8,800

Expenses:

Office Supplies $300

Advertising         700

Admin. Salary   1,400

Rent                  1,000 $3,400

Net income                $5,400

Expected profit           6,000

Required improvement $600

b) To achieve profit target of $6,000 under the current revenue profile, A-Plus Travel Planners must decrease expenses by at least $600.  Alternatively, it can increase its revenue by the same amount, while maintaining its costs at current level.

Indicate whether each of the following costs of an airplane manufacturer would be classified as direct materials cost, direct labor cost, or factory overhead cost: Cost Classification a. Aircraft engines b. Controls for flight deck c. Depreciation of welding equipment d. Landing gear e. Machine lubricants f. Salary of plant superintendent g. Tires h. Wages of assembly line worker

Answers

Answer:

Cost Classification :

a. Aircraft engines = direct materials cost

b. Controls for flight deck = direct materials cost

c. Depreciation of welding equipment = factory overhead cost

d. Landing gear = direct materials cost

e. Machine lubricants = factory overhead cost

f. Salary of plant superintendent = factory overhead cost

g. Tires = direct materials cost

h. Wages of assembly line worker = direct labor cost

Explanation:

direct materials cost,

This is the cost of materials directly traced to the Product manufactured.

direct labor cost,

This is the cost of factory labor directly traced to the Product manufactured.

factory overhead cost

This is the factory costs incurred not directly traced to the Product being manufactured

what's an opportunity cost?

Answers

Answer:

opportunity cost is the loss or the benefit that could have been enjoyed if the best alternative choice was chosen. As a representation of the relationship between scarcity and choice, the objective of opportunity cost is to ensure efficient use of scarce resources.

Explanation:

Logan, a 50% shareholder in Military Gear Incorporated (MG), is comparing the tax consequences of losses from C corporations with losses from S corporations. Assume MG has a $116,000 tax loss for the year, Logan's tax basis in his MG stock was $158,000 at the beginning of the year, and he received $83,000 ordinary income from other sources during the year. Assuming Logan's marginal tax rate is 24 percent, how much more tax will Logan pay currently if MG is a C corporation compared to the tax he would pay if it were an S corporation?

Answers

Answer:

$13,920

Explanation:

Calculation to determine how much more tax will Logan pay currently if MG is a C corporation compared to the tax he would pay if it were an S corporation

First step is to calculate what Logan's pay, if MG is a C corporation

Logan's pay, if MG is a C corporation =($83,000*24%)

Logan's pay, if MG is a C corporation = $19,920

Second step is to calculate Logan's pay, if MG is a S Corporation

Logan's pay, if MG is a S Corporation =[($83,000-$58,000)*24%]

($116,000*50% = $58,000)

Logan's pay, if MG is a S Corporation=$6,000

Now let calculate how much more tax will Logan pay currently

Logan pay currently = ($19,920-$6,000)

Logan pay currently = $13,920

Therefore how much more tax will Logan pay currently if MG is a C corporation compared to the tax he would pay if it were an S corporation will be $13,920

Following a systematic plan for the preparation of an e-mail, memo, letter, or oral presentation will make the composition process easier and will help you create more effective business messages. The writing process for business messages includes prewriting, drafting, and revising. Which of the following are steps involved in the prewriting phase of the writing process? Check all that apply. Analyzing Drafting Anticipating Researching Adapting Editing

Answers

Answer: Analyzing

Anticipating

Adapting

Explanation:

The writing process for business messages includes prewriting, drafting, and revising. We should note that the steps involved in the prewriting phase of the writing process:

• Analyzing

• Anticipating

• Adapting

The drafting phase is made up of:

• Researching

• Organizing

• Drafting

The revising phase include:

• Editing

• Proofreading

• Evaluating

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