Describe a scenario that forced you to wrestle with your values?

"Ayres Services acquired an asset for $80 million in 2021. The asset is depreciated for financial reporting purposes over four y

Zepler [3.9K]

a. The cumulative temporary book-tax difference for the depreciable asset are as follows:

December 31, 2021 = $60 million

December 31, 2022 = $40 million

December 31, 2023 = $20 million

December 31, 2024 = $0

b. The balance to be reported in the deferred tax liability account are as follows.

December 31, 2021 = $15 million

December 31, 2022 = $10 million

December 31, 2023 = $5 million

December 31, 2024 = $0

Explanation:

Note: See the attached excel file for the calculation of cumulative temporary book-tax difference for the depreciable asset and the balance to be reported in the deferred tax liability account for December 31 of years 2021, 2022, 2023 and 2024 in bold red color.

In the attached excel file, the following formula are used:

Cumulative Temporary differences at December 31 of the current year = Cumulative Temporary differences at December 31 of the previous year + (Depreciation on the tax return at December 31 of the current year - Depreciation on the income statement at December 31 of the current year)

Balance to be reported in deferred tax liability account at December 31 of the current year = Cumulative Temporary differences at December 31 of the current year * Tax rate

8 0

2 years ago

An Iowa state statute requires amusement parks to maintain equipment in specific condition for the protection of patrons. Jack’s

abruzzese [7]

Answer:

The correct answer is letter "C": negligence per se.

Explanation:

Negligence per se is a concept of the United States law that finds an act to be reckless because it violates a statute. To prove negligence per se, the victim will usually show that the defendant violated the law, the act caused the kind of damage that the statute was intended to prevent, and he was a member of the protected class of the statute.

5 0

2 years ago

Natalie and shay are both employees at righttool, inc. the marketing manager often meets with shay, the production manager, to s

miss Akunina [59]

This is an example of Direct marketing as Natalie and shay are both employees in righttool, inc. Shay, the production manager, and the marketing manager frequently meet to solve specific mutual problems.

<h3>What is direct marketing?</h3>

Direct marketing is the direct communication or the distribution to the customers, individuals or to the shopkeeper without involving the third party.

Direct marketing is so-called because it generally eradicates the middleman, such as adverts, it exclude Mail, email, social media, and texting campaigns.

Thus, it is called Direct marketing.

For more details about Direct marketing, click here:

brainly.com/question/14008832

#SPJ1

5 0

1 year ago

Toward the end of the fiscal year, the owner of a small company came back from lunch concerned because he had learned that a bus

garik1379 [7]

Answer:

C) the competitive-parity method

Explanation:

Based on the scenario, it can be said that the method of promotional budgeting that the owner wants to use is known as the competitive-parity method. This method basically describes taking the total budget amount that a competitor is allocating towards marketing and spending that exact same amount for your own company's marketing.

4 0

2 years ago

Read 2 more answers

You are planning to save for retirement over the next 30 years. To save for retirement, you will invest $800 per month in a stoc

Svetach [21]

Answer:

Ans. You withdraw each month from your account, for 300 months (25 years) $1,118.03 taking into account the expected inflation rate.

Explanation:

Hi, ok, first, we need to find out how much money will you have after saving in both accounts for 30 years, for that, we need to use the following equation and solve for FV (future value).

$FV=\frac{A((1+r)^{n}-1) }{r}$

Where, A is the amount saved in the account, r is the interest rate that it pays, n are the yearly equal payments, in our case 30. Everything should look like this in the case of the stock account.

$FV=\frac{800((1+0.11)^{30}-1) }{0.11} = 159,216.70$

In the case of the bond account it should look like this.

$FV=\frac{400((1+0.07)^{30}-1) }{0.07} = 37,784.31$

This means that after 30 years you will have $197,001.02

Now, we need to find the amount of monthly withdraw that you can make given the money saved, but in order to take into account the time value of money, we need to use the real rate of return and not the nominal rate of return (9%, when you gather all your money and send it to another acoount). Therefore, we have to find out the real rate of return, like this.

$Real(r)=\frac{[1+Nominal(r)]}{[1+Inflation(r)]} -1=\frac{(1+0.09)}{(1+0.04)} -1=0.0481$

This is 4.81% effective annual rate, but we need this rate to be effective monthly, that is:

$r(monthly)=(1+r(annual))^{\frac{1}{12} } -1=(1+0.0481)^{\frac{1}{12} } -1=0.0039$

That is 0.39% effective monthly, and we have to use the following equation with n=300 months, r=0.0039, PV= $197,001.02 and solve for A.

$PV=\frac{A((1+r)^{n} -1)}{r(1+r)^{n} } =\frac{A(2.234662443)}{0.012682296} =A(176.2032975)$

$197,001.02=A(176.2032975)$

$A=1,118.03$

Best of luck

7 0

2 years ago