Answer:
The correct answer is not listed in the options. However, the answer is $23,500. The explanation is given below.
Explanation:
It is important to understand the three levels of possible deductions as dividends are collected from US corporations.
- General rule: DRD is equal to 70% of dividend received
- If the company receiving the dividend owns more than 20% but less than 80% of the company paying the dividend, the DRD amounts to 80% of the dividend received.
- If the company receiving the dividend owns more than 80% of the company paying the dividend, the DRD equates to 100% of the dividend.
From our scenario, Wayne corporation holds the following percent holdings.
Robin Corporation = 40%
Bat Corporation = 90%
==> Using the Third Rule, Bat Corporation owns more than 80% which is 100%, therefore, we have:
$20,000 × 100% = $20,000
==> By using the second rule,
deductible amount = $5,000 × 80% = $4,000
==> By applying the general rule to Robin Corporation, we have
$5,000 × 70% = $3,500
Therefore, the total dividend deductible amount is $20,000 + $3,500 = $23,500
Answer: 0.15 years
Explanation:
According to Little's Law, it should be noted that:
I = R × T
where,
I = amount of flow units
R = rate of processing flow units
T = time
For this question,
I = $45 million
R = $300 million
Time will be:
T = I/R
T = 45/300
T = 0.15 years
Therefore, the account receivable process will use an average of 0.15 years.
Answer:
The gain that Sheridan should recognize on this exchange is $135000
Explanation:
Where Exchange Transaction lacks commercial substance, the asset that is acquired is measured at the <em>Carrying Amount or Undepreciated Cost </em> of the asset given up.
The gain will then include an <em>further consideration acquired</em> on the exchange of an asset.
<u>Entries to record the exchange are as follows :</u>
Cash $135000 (debit)
New Asset at undepreciated cost $420300 (debit)
Cost of Old asset given up $420300 (credit)
Gain on exchange $135000 (credit)
Conclusion :
The gain that Sheridan should recognize on this exchange is $135000
It bettered their relationship
do you have answer choices
Answer:
Transactions that create revenue :
Transaction B
Transaction C
Transaction D
Journal Entries :
<u><em>Transaction B</em></u>
Cash $900 (debit)
Sales Revenue $900 (credit)
<u><em>Transaction C</em></u>
Cash $10,000 (debit)
Unearned Revenue $10,000 (credit)
<u><em>Transaction D</em></u>
Cash $3,500 (debit)
Accounts Receivable $3,500 (credit)
Explanation:
Transactions that create revenue
Hint ; Revenue is the increases in income that results in increases in assets and decreases in liabilities
