Interest on purchase consideration, the salary of partners, and interest on vendor capital are to be charged during the pre-incorporation period.
Answer:
False
Explanation:
Under the at risk rules, the amount a tax payer has at risks at the year end is limited to the amount the taxpayer has at the end of the year.
The amount a taxpayer has at risk is increased by the taxpayer's income and decreased by the share of losses and withdrawal from the activity. For partnership, the at risk increases with an increase in debt and vice versa.
Jack's year-end at-risk amount = At risk amount - (interest *loss) = $42,000 - (10% × $60,000 loss) = $36,000
Answer:
1. The disagreement between these economists is most likely due to
a. differences in values
2. Despite their differences, with which proposition are two economists chosen at random most likely to agree?
a. Lawyers make up an excessive percentage of elected officials.
Explanation:
Economists chosen at random do not usually agree on economic events and realities, instead, they are more likely to agree on issues that are not economic. They offer differing opinions based on similar principles. Most of their disagreements stem from differences in what they place their values on. Some value market-oriented approaches while others value government interventions in market situations, with other variants in-between.
Answer:
We are involved in the game of economics when we spend or receive money..
Explanation:
The economy is determined by the movement of money by individuals, groups or corporations.
Answer:
Historical costs is objectively and precisely measured, whereas market values can be difficult to estimate, and different analysts would come up with different
values.
Explanation:
In preparing a balance sheet it is customary for a company to value the assets and other items based on historical costs rather than market values.
For example if an asset is purchased at $20,000, this value will reflect in the balance sheet in subsequent years. Or future calculation will be based on this.
Let's say yearly depreciation is $1,000 then after on year the value will be $19,000, after two years $18,000 and so on.
This is more object than market value which varies at any one time.
Market value for an item will vary depending on location and the market.
