Answer:
to earn a dividend
to earn capital gains
Explanation:
Stocks represent ownership in a corporation. Shareholders are entitled to share in the profits of the business. The portion of profits that shareholders get for contributing capital is the dividend.
Investing in stocks makes one a shareholder and gives them the right to dividends. Investors always select the stocks of companies likely to declare high dividends. Dividends is an important reason why investors opt for shares or stocks.
Stocks of corporations that are performing well financially are likely to increase in price. Investors buy stocks when prices are low and selling them when prices appreciate. That way, they can profit through capital gain.
Dividends and capital gains are the rewards that investors gain from stocks. Interest is earned on deposits and loans.
Answer:
A joint venture is an attractive way for a company to enter a new industry when:
a firm is missing some essential skills or capabilities or resources and needs a partner to supply the missing expertise and competencies or fill the resource gaps.
Explanation:
A joint venture is the pooling of resources by two or more companies in order to execute a particular project. Some of the advantages of entering into a joint venture with another company include: gaining new capacity and expertise, entering related businesses or new geographic markets, securing access to modern technology, increased access to resources - including expertise and technology. Joint ventures last as long as the project for which it is set up lasts. The arrangement does not call for the dissolution of the joint venturers. Instead, their separate businesses would continue to run separately from the joint venture, which becomes a separate entity until the accomplishment of the task.
Answer:
The property will be depreciated using the remaining 3 years of its life after the tax-free incorporation transfer year. This is because Dan had already depreciated the property for 2 years before the transfer.
Explanation:
Sec. 351 allows a tax-free incorporation transfer if certain requirements are met, including that the property must be transferred to Fleck Corporation by Dan in exchange for stock in Fleck Corporation, and, immediately after the exchange, the Fleck Corporation is in control.
Answer: C
Revenue is recorded in the accounting records and reported on the income statement when goods are sold and delivered to a customer.
Explanation:
The term revenue recognition at the point of sale refers to the process of recording revenue from manufacturing and selling activities at the time of sale. The revenue recognition principle states a company can record revenue when two conditions are met. They must be realized or realizable, and earned.
The correct answer is <span>a contract for the sale of a dining room set.
</span>The Uniform Commercial Code (UCC) attempt to provide a framework of rules to deal with all aspects of commercial sales transactions of tangible goods such as the dining set listed among the four options.
