Answer:
Fly Corporation
The stock price will not be affected by the accounting change.
Explanation:
This opinion is based on the assumption that the capital markets are efficient. Therefore, the stock's market price will reflect all available and relevant information. Since all the necessary information is already incorporated into the stock price, the CEO of Fly Corporation cannot beat the market by the change in accounting method, and the stock price will not be undervalued or overvalued. Moreover, the change in accounting method only shifts the timing for reporting income.
Answer: Expenses or losses that are tax deductible before they are recognized in financial income.
Explanation:
Future taxable amounts arise as a result of a difference between the way an asset or liability is recorded due to the company's financial accounting principles and the way it should be recorded due to taxation principles of the government.
When this happens you will find that some things are not taxed as they should be, but rather as the company records them to be. These differences are only temporary though and correct themselves as time goes on.
An example of such are expenses of losses. Some expenses for instance may be taxable immediately but are instead only taxed in the business over the term of the expense.
Answer:
$6,240
Explanation:
annual amount of depreciation expense for each of the remaining years would be $6,240.
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Answer:
The journal entry to record the sale transaction would be to "debit cash $295.50; debit credit card expense $4.50 and credit sales $300"
Explanation:
The credit card expense of $4.5 ( i.e, Sales of Merchandise <em>$300</em> multiplied by Bank service charge deduction <em>1.5%</em>) is a loss.
Therefore, It should be debited.
Answer:
Sample Budget
Salary Income $2515
Rent expense -$900
Food and groceries -$250
Entertainment expense -$85
Shopping -$45
Birthday Party gift -$12
Transportation expense -$150
Home maintenance cost -$320
Tuition cost -$121
Net savings = $632
Explanation:
The mid aged person who is age of 25 to 30 will have different expenses. He will have to budget his monthly income and routine expenses to identify the savings. The sample budget will include different types of household expenses that a person incurs to live. He might have to budget one off expenses such as party cost, gifts etc. He will have to keep track of groceries and food expenses.
