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Firdavs [7]
3 years ago
15

Bob, CPA, has a client with a strong belief that he is correct about an aggressive but creative tax position. Bob thinks otherwi

se and has documented his position. Bob files the tax return as his client wishes but also includes disclosure on his client's position. There is no substantial authority on this tax position. The client agrees with Bob that the position should be disclosed to the __________
Business
1 answer:
yKpoI14uk [10]3 years ago
5 0

Answer:

IRS ,AICPA Statements on Standards for Tax Services.

Explanation:

From the question, we are informed about Bob, that has a client with a strong belief that he is correct about an aggressive but creative tax position.

and how Bob files the tax return with disclosure on his client's included.

In the case of agreement on the disclosure of the position, then it should be disclosed to IRS. which is a form of Statements on Standards for Tax Services.they are responsible for quality control as far as tax is concerned.

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On August 1, our company purchases $1,000 worth of merchandise inventory on credit with the terms 2/10, n/30. What is the amount
vampirchik [111]

Answer:

a) $1,000

Explanation:

Early Settlement Discount

This form of quotation is common with suppliers offering their customers deferred payment arrangement in a sale contract. Usually, under this arrangement customers are allowed to purchase goods on credit and settle their acccount at a specified  later date.

However, to encourage customers to pay up their outstanding earlier than expected, suppliers do offer early settlement discount as incentives to induce prompt payment.

A quotation of 2/10, n/30

This implies that the customer is a given a 30-day period from the date of purchase within which he is expected to settle his account. However, if he does so within the next 10 days of purchase he will be given a 2% discount.

<em>Applying this to the question, the purchase date is August 1, the the latest date for which account is settle to qualify for early settlement discount will be 11 days i.e (1+10) .</em>

Since the payment will be made on August 12, no cash discount will received. Therefore, a payment of gross amount of $1,000 would be credited to the cash account.

7 0
3 years ago
TH Manufacturers expects to generate cash flows of $129,600 for the next two years. At the end of the two years the business wil
arsen [322]

Answer:

Vo  = <u>C1  </u>    +        <u>C2 + V2</u>

        1 + k              (1 + K)2

Vo = <u>$129,600  </u> +   <u>$129,600 + $3,200,000</u>

        1 + 0.14            (1 + 0.14)2

Vo = $113,684.21  + $2,562,019.08

Vo = $2,675,703.29

The correct answer is C

Explanation:  

The current value of the business equals cashflow in year 1 divided by 1 + K plus the aggregate of cashflow and sales value in year 2 divided by 1 + k raised to power 2.

7 0
3 years ago
How hospital capacity considerations differ from a factory.
sleet_krkn [62]

Answer:

One of the differences between hospital and factory capacity is that a hospital can add capacity easily by adding more staff and beds. A factory is usually technologically limited and therefore must plan well in advance to add capacity.

Explanation:

3 0
2 years ago
A company purchased land for $350, 000 cash. Real estate brokers commission was $25,000 and $35,000 was spent for demolishing an
docker41 [41]

Under the historical cost principle the cost of land would be recorded at: <u>d. $410,000 </u>.

<u>Explanation</u>:

<em><u>Given</u></em>:

Purchase cost of land = $350,000

Brokers commission = $25,000

Cost for demolishing old building = $35,000

Principle cost of land = ?

Principle cost of land= Purchase cost of land+ Brokers commission+ Cost for demolishing old building

            = $350,000+$25,000+$35,000

            = $410,000

Principle cost of land= $410,000

The correct option is <u>d.$410,000</u>.

7 0
3 years ago
Hometown​ Grocery, Inc. has​ 41,000 shares of common stock outstanding and​ 5,000 shares of preferred stock outstanding. The com
nalin [4]

Answer:

Dividend Per Each Share = $0.85  per share

Explanation:

given data

common stock outstanding = 41,000 shares

preferred stock outstanding = 5,000 shares

common stock =​ $6.00 par​ value

preferred stock  4% noncumulative = $100.00 par value

total dividend payment = $55,000

solution

we get here Total Preferential Divided that is

Total Preferential Divided = Shares × Face Value × 4%     ........1

Total Preferential Divided = 100 × 5000 × 4%

Total Preferential Divided = 20000

so as that Total Equity Dividend is

Total Equity Dividend = Total Dividend - Total Equity Dividend  .............2

Total Equity Dividend = $55,000 - 20000

Total Equity Dividend = 35000

so Dividend Per Each Share will be

Dividend Per Each Share = \frac{Equity\ Dividend}{Total\ Equity\ Shares}   ..............3

Dividend Per Each Share = \frac{35000}{41000}

Dividend Per Each Share = $0.85  per share

7 0
3 years ago
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