Answer:
The correct answer is letter "D": double taxation of distributed profits.
Explanation:
A Corporation is an entity, typically with specific characteristics of a large business. Corporations are considered to be separate legal entities from their owners. This implies double taxation for profits: <em>one filing for corporate taxes and the other individually when the profits are distributed</em>.
Answer:
Skunkworks
Explanation:
The term skunkworks is mostly used in business and also the technical fields to describe a group that is within an organization that has high autonomy and have tasks that requires them to work on advanced or secret projects. They are allowed to operate outside the usual processes such that they have the freedom to come up with new ideas.
Answer:
Cash A/c Dr $15,000
To Notes payable A/c $15,000
(Being the bank borrowing through a note payable is recorded)
Explanation:
The journal entry is shown below:
Cash A/c Dr $15,000
To Notes payable A/c $15,000
(Being the bank borrowing through a note payable is recorded)
This transaction increases the cash balance so the cash account should be debited and the note payable account should be credited as it creates a liability which is to be reflected in the balance sheet
Answer:
It is decrease in accounts receivable (D)
Explanation:
An Increase in Inventory : the effect of this transaction will reduce the cash position of the company because more cash is being tied down as inventory at a cost.
A decrease in accounts payable : Here, more cash is being paid to off-set liability owed to suppliers and this will reduce company's cash position.
Preferred dividends declared and paid : This is an outflow of cash paid to equity investors as a return on their investment which will impact negatively on the company cash position.
Decrease in accounts receivable : This is an inflow of cash from the settlement of trade receivable owed by our customers which will impact positively on our cash position.
