Answer:
amount recognized gain = $7500
Explanation:
given data
profits = $500,000
basis = $67,500
fair market value = $75,000
interest = 95%
distribution = $90,000
to find out
amount of Shepherd Corporation’s recognized gain or loss
solution
we know that here effect of non liquidating distributions on corporation is gain are recognised on property that is express as
amount recognized = fair market value - Basis .................1
put here value we get
amount recognized = $75,000 - $67,500
amount recognized gain = $7500
Answer:
e. $6,000 preferred; $0 common.
Explanation:
The Preference Stock holders hold first preference during payment of dividends followed by the Common Stockholders.
Note also that Cumulative Preference Stock can have their dividends accumulated and paid in the latter years when funds become available.
Amount of Preference Stock dividend is fixed and calculated as follows:
9,450 shares × $10 × 5% = $ 4,725
2015
Cash dividends = $0
Preference Stock dividend Paid = $0
Preference Stock dividend Arrears = $ 4,725
No Common Stock Dividend
2016
Cash dividends = $6,000
Preference Stock dividend Paid = $6,000
Preference Stock dividend Arrears = $ 3,450
No Common Stock Dividend
Answer: 39%
Explanation:
From the question, we are informed that company earned $7,605 in net income for October and that its net sales for October were $19,500.
To calculate its profit margin, we have to divide the net income by the net sales. This will be:
= 7605/19500
= 0.39
= 39%
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BLIND OBEDIENCE occurs when soldiers or employees follow questionable orders, such as when nurses willingly follow a physician's order to give a patient a dangerously high dosage of medication.
