Answer:
$40,000
Explanation:
Calculation to determine What amount of capital gain income will N recognize related to this distribution
Using this formula
N Capital gain income=N stock basis- M distribution
Let plug in the formula
N Capital gain income=$100,000-$60,000
N Capital gain income=$40,000
Therefore The amount of capital gain income that N will recognize related to this distribution is $40,000
Answer:
Option B Change in accounting principle; retrospectively; required.
Explanation:
The reason is that the change is policies are considered in the international accounting standard IAS-8 Accounting policies, estimates and correction of errors. The standard says that the change in depreciation method is considered as a change in accounting policy which must be treated as retrospectively which means that the adjustments must be made to all the previous years using the same depreciation and must reflect the change in Changes in Wquity statement. This change in accounting policy as per the requirement s of the standard, must be disclosed in the notes to financial statements. Furthermore the changes in equity must only be opted if it increases the truth and fairness of the financial statement.
Answer:
A. Draw the cash flow diagram.
since the site doesn't include a drawing tool I just prepared a table to depict cash flows associated to years one through four:
Year Cash inflows
1 $50 million
2 $60 million
3 $70 million
4 $100 million
B. What is the present worth of the gains for the first three years?
- the present value of the first three cash flows = $50/1.1 + $60/1.1² + $70/1.1³ = $45.45 + $49.59 + $52.59 = $147.63 million
C. What is the present worth of the gains for all four years?
- the present value of the first three cash flows = $50/1.1 + $60/1.1² + $70/1.1³ + $100/1.1⁴ = $45.45 + $49.59 + $52.59 + $68.30 = $215.93 million
D. What is the equivalent uniform annual worth of the gains through year four?
- equivalent annual worth = (NPV x r) / [1 - (1 + r)⁻ⁿ] = ($215.93 x 0.1) / [1 - (1 + 0.1)⁻⁴] = 21.593 / 0.31699 = $68.12 million
Answer:
innovation and product research
Explanation:
To develop a new product or service that brings unique value to customers, innovation and product research are very important.
In bringing unique value to customers, the entrepreneur must be proactive in making adequate research to understand what brings value to his potential customers. In order to bring out something unique and truly valuable, the entrepreneur must be innovative and creative.
Answer:
Letter E is correct. <u>Ethical climate.</u>
Explanation:
The ethical climate is a relevant part of the organizational climate.
Each company has a code of ethics that must be shared equally by all employees. Therefore, decisions and actions should be based on this code, in order to comply with legal policies and social behaviors, reduce conflicts, reduce abuse of authority, and maintain a favorable and positive organizational climate for conducting organizational activities suitable and ideal for the well-being of all employees.
