General Motor Company(GMC) is a manufacturing company that manufactures automobiles in U.S.A.
Answer:
a. Does this qualify as a good Section 351 transaction?
Answer: No. This is because service is not a qualified property contribution under the section 321. Moreover, fair value of stock received by Chrissie is just 75% of 100%.
b. What gain does Chrissie Recognize?
Answer: The Gain Chrissie recognizes = FMV of stock received - Adjusted basis of transferred property = $750,000 - $500,000 = $250,000.
c. What gain does Mirinda recognize?
Answer: The Gain Mirinda recognizes is $0 or Mirinda will recognizes compensation worth which will be taxed as an ordinary Income ($250,000).
Answer:
A: Increase Cash $6,000 and increase Unearned Service Revenue $6,000
Explanation:
As the customer is performing the payment in advance, it will generate an obligation to the business to do the wedding gowns. This will not be a revenue; it will be liability for the business until the job is done. While the job is incomplete and undelivered, it will represent unearned service revenue.
Answer:
Advertising itself should be carried out toward the target market, that should always be the main plan.
The Brazilian markets differs in areas like culture, race, climate etc, as against that of The United States market, they also might have their preferences in a different way.for this, there should always be a different advertising system plan for Brazil
Explanation:
Solution
Advertising should always be done keeping in mind the target market.
The Brazilian market is different totally in terms of ethnicity, race,culture, likes, dislikes, preferences, climate, mindsets as compares to US market. they might not like what The United States market would like so there should be a difference in advertising plan for Brazil.
