* Facts: Company E proposes to include in its registration statement a balance sheet showing its subordinate debt as a portion ofstockholders' equity. * Question: Is this presentation appropriate? * Interpretive Response: Subordinated debt may not be included in the stockholders' equity section of the balance sheet. Any presentation describing such debt as a component of stockholders' equity must be eliminated. Furthermore, any caption representing the combination of stockholders' equity and only subordinated debts must be deleted.
* Without such access to R&D research, the agreement essentially has no value to Careway on a stand-alone basis. Milestone Payment Revenue Recognition * In accordance with codification 605-28-20, a milestone is achieved if the event would result in additional payments being due to the vendor. * Therefore, the milestone payments cannot be recognized as revenue until the date of the first launch, when revenue is earned and more payment comes due to SolvGen from Careway. * Since R&D does not represent a deliverable, the milestone payments are essentially an up-front payment for the license and distribution deliverable. * Milestone payment revenue should then be spread out on a pro rata basis as products are distributed under the license and distribution agreement.
(TCO D) Liabilities are (Points : 5) any accounts having credit balances after closing entries are made. deferred credits that are recognized and measured in conformity with generally accepted accounting principles. obligations to transfer ownership shares to other entities in the future. obligations arising from past transactions and payable in assets or services in the future. 5.
However, it does not specify when to recognize or how to measure the items that make up comprehensive income. In reporting comprehensive income, companies are required to use a gross disclosure technique for classifications related to items of other comprehensive income other than minimum pension liability adjustments. For those classifications, reclassification adjustments must be disclosed separate from other changes in the balances of those items so that the total change is disclosed as two amounts.
To successfully invoke this defense, the purchaser or occupier had to establish that it had no reason to know that the property was contaminated. Since the problem with brownfields is the existence or suspicion of contamination, the defense was largely unavailable to prospective developers or tenants of brownfield sites. To eliminate this obstacle to redevelopment of brownfields, the Brownfield Amendments created the BFPP defense for landowners or tenants who knowingly acquire or lease contaminated property after January 11, 2002. Only those parties that qualify for the BFPP defense are potentially subject to the windfall lien. To qualify for the BFPP, the owner or tenant must establish by a preponderance of the evidence that it has satisfied the following eight conditions: • All disposal of hazardous substances occurred before the purchaser acquired the facility.
(US Code, Section 121 (a); http://www.law.cornell.edu/uscode/text/26/121 Conclusion: There should be a little or no difference between paying an old mortgage and assuming a new one. If the couple sells a house they could exclude up to $500,000 of recognized gain, if they have lived in this house for at least two years in the five year period. (b) Can John and Jane Smith utilize a 1031 tax exchange to buy a more expensive house using additional money from John's case? Applicable Law &
Should In your analysis, assume that Dasher operates 1 shift of 8 hours per day, 5 days a week and that September had 21 days, i.e. 168 hours. Also note that footnote (d) in Exhibit 2 indicates that the setups for the CNC drill and CNC router and be performed offline, which means that the CNC drill can be processing one order while the setup for the next order is being performed simultaneously. Footnote (f) in Exhibit 2 refers to the drilling stage. In Exhibit 1, the 2003 net profit before tax should be 5.0% (not
On May 1, 2012 Coconut agreed to provide Buffet with training services on the customer management system and one additional year of PCS. This second arrangement was made under a separate contract and Buffet paid $4,500 for the additional services. 1.) Is Coconut’s February 1, 2012, arrangement with Buffett within the scope of ASC 985-605? The agreement with Buffett on February 1, 2012 is not within the scope of ASC 985.
2. Using a traditional DCF method we calculated that the per-film value of a sequel right to be a loss of $2.43 Million. To obtain this value we discounted the costs back three years to get our present value, and discounted inflows back four years. After calculating these two present values, we subtracted the costs from the inflows to reach our value. We could adjust the DCF to get a value closer to the true value of sequel rights by adjusting the WACC based on the success of the first film.
The Owner/Operator shall make such information and records available at such locations as Works and its agents may reasonably designate. 15. Insurance While Works shall arrange the liability insurance as specified in paragraph 21, the Owner/Operator shall pay the deductible amount to a maximum of $1,500 if the liability insurance is required, per insured event, to Works within five (5) days of the event. The total deductible is $5,000. Insurance does not cover spray painting.