Answer:
d. 3QC + QF = 720
Explanation:
The labor constraint is the resource limitation in terms of labors. If labor resource is scarce then production schedule needs to prepared with special attention to utilize the resource in best possible way. The labor constraint is 3QC + QF = 720 for the ROW.
Answer:
B) stiff fines are not the only way to collect past due corporate taxes
Explanation:
Collecting taxes is not an easy or inexpensive job. The IRS spends billions of dollars in order to collect taxes and the same applies to state taxing entities (at a smaller proportion).
So if state tax official can find a way to collect past due taxes then it should always be a good idea. Everyone loves a discount and corporations probably love discounts more. If the reduction or elimination of fines will make corporations pay their state taxes, then it's a great idea.
It's always better to collect $100 in taxes than to have $200 in past due taxes that aren't collected.
Answer:
Analysis of the Big Bart line discontinuity
Opportunity Costs :
Sales ($201,000)
Savings :
Variable Costs $175,000
Fixed Costs ($30,700 - $19,800) $10,900
Financial Advantage / (Disadvantage) ($15,100)
Conclusion :
Do not eliminate / discontinue Big Bart line.
Explanation:
The results show that closing Big Bart line results in a contribution towards fixed cost being lost to the amount of $15,100. Therefore leaving the entire company in a worse off position.
Answer:
$0
Explanation:
The basis for a Section 351 transfer = fair market value of the property - assumed liabilities = $80,000 - $75,000 = $5,000
Since Buster controls Bronco Corporation (he owns 100%) and he exchanged the property for common stock, no gain or loss should be recognized, neither by Buster or the corporation. All that must be recognized is the new basis for the asset ($5,000).
Answer:
C) I, II, and III only.
- I. May demand payment of the full amount immediately from the sureties when the corporation defaults on the loan.
- II. May demand payment of the full amount immediately from the sureties even if Reuter does not attempt to recover any amount from the collateral.
- III. May attempt to recover up to $200,000 from the collateral and the remainder from the sureties, even if the remainder is more than $300,000.
Explanation:
The bank has several options in this case, depending on the financial position and net worth of the sureties and the corporation. It can decide to collect all the debt directly from them, or collect part of the debt through the collateral property, or it can go after the assets of the corporation, or any type of combination. In this case the bank has three options from which it can collect the debt and it is up to them to decide how they proceed.
