<span>Answer to part a of this question is "The stock dividend is not taxable because it is pro rata to all the shareholders."
</span>Answer to 2nd question is "The new stock is allocated part of the tax basis of the old stock based on relative fair market value.
After the stock dividend, Madison will own 1,100 shares of Badger stock (1,000 + 1,000/10), each with the same fair market value.
Her basis in each <span>share of stock will be $91, computed as (1,000 shares x $100 basis) / 1,100."</span>
Answer:
$3 less
Explanation:
Sales value after processing into refined sugar = $77
Cost of processing into refined sugar = $41
Profit per unit from refined sugar = $77 - $41 = $36
Profit per unit before processing of beet juice = $39
Hence, the company makes $3 less ($39 - $36) if it processes the beef juice into refined sugar than selling as it is. It is advisable not to spend resources on conversion of beet juice into refined sugar but instead to sell as it is.
The patterns identified through data mining can help identify customers who may respond to campaign. This tactic will likely increase sales.
Answer:
See bekow
Explanation:
Number of direct labor hours = 555,000 / 15 = 37,000
Overhead cost = $57,000 + $158,500 + $28,800 + $22,100
Hi there!
Answer:
D. credit Wages Payable for $2,880.
Explanation:
-First we calculate the cost per employee per day
$15 per hour * 8 hours/day = $120 per day per employee
-Then we calculate the daily cost in wages
8 employees x $120 = $960 per day
-Then we <em>accrue</em> wages until the end of the month (Monday, Tuesday and Wednesday)
Daily cost $960
Days worked till the month ends 3
Accrued expense $2,880
<em><u>Journal entry:
</u></em>
Debit Credit
Wages expense $2,880
Wages Payable $2,880
