"Extend and Broaden the Mortgage Debt Relief Act Now." American Banker RSS. Www.americanbanker.com, 5 Sept. 2012. Web. .
Legal or contractual obligations can also help determine the useful life of an intangible asset. A patent has a 20 year term. When the useful life of the patent is determined for accounting treatment, it will be the lesser of 20 years or the amount of time the patent is expected to generate cash flows for the company. Costs associated with the patent may be capitalized over the useful life determined. Research and development costs incurred related to the patent are not eligible to be capitalized.
When government spending is increased, the amount of the increase in aggregate demand primarily depends on: A. The average propensity to consume B. The size of the multiplier C. Income taxes D. Exchange rates 5. Which fiscal policy would be the most expansionary? A.
How much should the annual loan payments be? (Assume annual compounding. )-7384 A retirement plan guarantees to pay to you or your estate a fixed amount for 20 years. At thetime of retirement you will have $73,425 to your credit in the plan. The plan anticipates earning9% interest.
What is it's breakeven point? c) what volume is required to provide a pretax profit of $100,000? A pretax profit of $200,000? d) Sketch out a CVP analysis graph depicting the base case situation? e) Now assume that the practice contracts with one HMO, and the plan proposes a 20% discount from charges.
When a corporation sells treasury stock below its cost, it usually debits the difference between cost and selling price to Paid-in Capital from Treasury Stock. F11. Participating preferred stock requires that if a company fails to pay a dividend in any year, it must make it up in a later year before paying any common dividends. T12. Callable preferred stock permits the corporation at its option to redeem the outstanding preferred shares at stipulated prices.
Premier Investments Ltd dropped its current ratios sharply from 4.27 to 1.74. That indicates Premier Investments Ltd transferred its current assets to noncurrent assets or it got more current liabilities. However, it is still has less current liabilities covered it assets compared with David Jones Ltd. So David Jones Ltd needs to make a financial plan to meet the coming current liabilities, or they may get a financial crisis. Quick ratio Current ratio measures the current assets to be turned into cash to meet its debts in one year.
You decide week 6 The stock should not be purchase by Mr. Jones. Mr. Jones acquiring the assets, liabilities and also would inherit the contractual obligations of the selling corporation, would, be the results of the purchase. In lay terms, he has bought the existing Smithon Corporation and he is responsible of ensuring daily operations run efficiently but the tax aspect of acquisition he is responsible for existing and any future tax liabilities that the selling corporation had. It would be my advice for Mr. Jones to not buy the stock because of the liability of current and future tax obligations which Mr. Jones would incur from the purchase of the stock. Since the tax identity of Smithon corporation would have not ceased, it is not
The much more divisive question is whether the government should preserve the benefits that the companies provide to middle-class borrowers, including lower interest rates, lenient terms and the ability to get a mortgage even when banks are not making other kinds of loans. Douglas J. Elliott, a financial policy fellow at the Brookings Institution, said Congress was being forced for the first time in decades to grapple with the cost of subsidizing middle-class mortgages. The collapse of Fannie and Freddie took with it the pretense that the government could do so at no risk to taxpayers, he
The company pays cash upon conversion, and the delivers shares based on a conversion price from that day is calculated on a proportionate basis each day of trading in the relevant conversion period. (b) How can small no-name company issue debt at 2.5% when Coca Cola has to pay 4.25%? A small company can issues loans that rank below other debts, such as convertible senior subordinate notes. If the issuer happens to go bankrupt and looses its assets, then as a subordinate debt the convertible subordinate note will be repaid after other debt securities have been paid. As with all debt securities, however, the note will be repaid before stock.