| | | | | * Question 3 0 out of 2 points | | | You recently sold 100 shares of your new company, XYZ Corporation, to your brother at a family reunion. At the reunion your brother gave you a check for the stock and you gave your brother the stock certificates. Which of the following statements best describes this transaction?Answer | | | | | | | Correct Answer: | This is an example of a direct transfer of capital. | | | | | * Question 4 0 out of 2 points | | | Which of the following could explain why a business might choose to operate as a corporation rather than as a sole proprietorship or a partnership?Answer | | | | | | | Correct Answer: | Corporate shareholders escape liability for the firm's debts, but this factor may be offset by the tax disadvantages of the corporate form of organization. | | | | | * Question 5 2 out of 2 points | | | Money markets are markets forAnswer | | | | | | | Correct Answer: | Short-term debt securities.
Under the Securities Act of 1933, the MIFT does not automatically fall into the category of exempt securities, so the company must still file a offering statement with the SEC to avoid penalties. Next, we developed an analytical Matrix that assisted us in deciphering between security law exemptions the company could leverage, and how they would realistically apply to Viscotech’s situation (see Exhibit 2). After analyzing the security laws pertaining to the issuance of securities, we decided their best option was the Regulation A offering to exempt the transaction from registration. It would have allowed the company to “test the waters” through a provision of Regulation A offering which allows companies to publish or deliver a written offering circular, radio broadcast, or television broadcast to prospective investors to gauge their interest before filing an offering statement with the SEC and taking on the fees necessary to do so. However, an offering statement would have needed to be submitted to the SEC and cleared before actually raising money through the Regulation A offering.
The firm should change their accounting style and use product cost model so that the firm only capitalizes the revenues and cost when they sell a unit of bottled old turkey. Treating the warehousing and barrel costs as product cost would reflect on the income statement as now the third year projected losses can be transformed into profits allowing the president to make a stronger case in front of the local bank. Using product cost instead of period cost: assuming that we had 50,000 aging barrels in the base year. Cost of production/barrel = material cost + cost of new oak barrel + rental + direct cost = 100 + 75 + 20 + 50 = 245. | year 0| Year 1| Year 2| Year 3| Cost of production incurred during the period| 5,250,000| 5,540,000| 5,970,000| 6,540,000| Add beginning Work in progress inventory| 12,250,000| 12,250,000| 12,740,000| 13,720,000| Total cost of production accounted for| 17,500,000| 17,790,000| 18,710,000| 20,260,000| Less :ending work in progress inventory| 245 * 50000 =12,250,000| 245*52000 =12,740,000| 245*56000=13,720,000| 245*62000=15,190,000| Cost of production| 5,250,000| 5,050,000| 4,990,000| 5,070,000| Revenues| 6,000,000| 6,000,000| 6,000,000| 6,000,000| Net income before taxes| 750,000| 950,000| 1,010,000|
ACCT 323 Week 4 Homework Solutions https://hwguiders.com/downloads/acct-323-week-4-homework-solutions/ ACCT 323 Week 4 Homework Solutions 1) In the current tax year, Gunther earned $125,000 from his job as a civil engineer. In addition, he received $30,000 of income from Activity A, and lost $40,000, and 20,000 from Activities B and C respectively. Activities A, B, and C are passive activities that Gunther acquired in the current year. What amount of loss may Gunther deduct on his current year taxes with respect to each activity? What amount of loss, if any, must be carried over to the subsequent year for each activity?
Synopsis of Rule of Law. Corporate gift-giving is an allowable method of increasing goodwill, but the gift should be less than 1% of capital and surplus and directed to an institution owning no more than 10% of the company stock. Facts. Plaintiff corporation, founded in 1896, had a history of donating minor sums of money to various charities and institutions. In 1956 Plaintiff voted to give $1,500 to Princeton University.
You would want to make sure that you have guidelines set up for you to manage this risk as they come. One thing that I do want to point out is that your company mentioned that they were interested in buying an indelible ink machine in order to print company checks. I don’t think this is a good idea. This is in
Administrative Regulations 1. State the administrative agency which controls the regulation. Explain why this agency and your proposed regulation interest you (briefly). Will this proposed regulation affect you or the business in which you are working? If so, how?
In 2007, state lawmakers rejected a multi-state lottery bill, because of fears that the lottery would lose money in such a low populated state. Eric Spector, president and CEO of Wyoming Downs, said “the machines would have generated about $12 million a year for the Hathaway program and around $2 million to help pay for the statewide lottery”. This bill was also expected to gain about eleven million dollars each year from the just the lottery. Wallis stated that “I really thought this was a win-win situation for everyone.” The money was even going to a good cause, the expected eleven million dollars per year was going to help fund the Hathaway scholarship. The scholarship, intended to give money to all qualifiers to attend a Wyoming school, is slowly losing money.
Groupon versus Paytrust Groupon Groupon (a portmanteau derived from "group coupon") is a deal-of-the-day website that features discounted gift certificates usable at local or national companies. Groupon was launched on November 2008, the first market for Groupon was in Chicago. The idea for Groupon was created by now-CEO and Pittsburgh native Andrew Mason. The idea subsequently gained the attention of his former employer, Eric Lefkofsky, who provided $1 million in "seed money" to develop the idea. The company offers one "Groupon" ("group coupon") per day in each of the markets it serves.
Verizon owns 23.1% of this company and recorded Net Income of 925 million in 2013. When looking at notes to 10k, Verizon’s corporate eliminations policy is “Corporate, eliminations and other includes unallocated corporate expenses, intersegment eliminations recorded in consolidation, the results of other businesses, such as our investments in unconsolidated businesses, pension and other employee benefit related costs, lease financing, as well as other adjustments and gains and losses that are not allocated in assessing segment performance due to their non-operational nature. Although such transactions are excluded from the business segment results, they are included in reported consolidated earnings. Gains and losses that are not individually significant are included in all segment results as these items are included in the chief operating decision maker’s assessment of segment performance” (10K 2013, Edgar). In the reconciliation of total reportable segments, the total corporate eliminations were $912 million.