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3 years ago

Regarding the tax treatment of payments to securities holders, it is true that _, while ______.

Business

1 answer:

Vladimir [108]3 years ago

6 0

Answer: (d)common stock dividends and preferred stock dividends are not tax-deductible; interest is tax-deductible

Explanation:

Here is the complete question:

Regarding the tax treatment of payments to securities holders, it is true that _________, while _________.

(a)interest and preferred stock dividends are not tax-deductible; common stock dividends are tax deductible

(b)interest and preferred stock dividends are tax-deductible; common stock dividends are not tax-deductible

(c)common stock dividends and preferred stock dividends are tax-deductible; interest is not tax-deductible

(d)common stock dividends and preferred stock dividends are not tax-deductible; interest is tax-deductible

Regarding the tax treatment of payments to securities holders, it is true that common stock dividends and preferred stock dividends are not tax-deductible while interest is tax-deductible.

It should be noted that the profit of a company is gotten when the expenses are deducted from the revenue. The dividends are not tax deductible as they are not expenses.

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Terral prime, an auditing firm, purchases a management information system called alpha duo. most of terral's employees are unfam

gogolik [260]

The answer to this question is a Request for Proposal. The request for proposal or RFP is a document requested and being sent to various suppliers / sub-contractors in order to present their company's services and cost of goods or services. It is also a document that is presented thru a bidding process in order to get the project from a certain company.

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3 years ago

Cast Iron Grills, Inc., manufactures premium gas barbecue grills. The company uses a periodic inventory system and the LIFO cost

sammy [17]

Answer:

a) ending inventory: 11,850,000

cost of goods sold: 25,200,000

gross profit 25,200,000

ending inventory: 1,800,000

cost of goods sold: 23,100,000

gross profit 50,400,000 - 23,100,000 = 27,300,000

Explanation:

5,200 at $600

4,100 at $700

6,200 at $800

purchase 29,000 at $900

-sold 28,000 grills

As we use LIFO we sale from the last purchase thus, 29,000 - 28,000 = 1,000 of this units are added as another layer for the inventory account

ending inventory

5,200 at $ 600

4,100 at $ 700

6,200 at $ 800

1,000 at $ 900

Total $ 11,850,000

cost of good sold:

28,000 x $900 = $25,200,000

sales revenue

28,000 x 900 x 200% = $50,400,000

gross profit sales revenue less COGS

b) 5,200 at $600

4,100 at $700

6,200 at $800

purchase 15,500 at $900

-sold 28,000 grills

we check how many layer deep we go:

28,000 - 15,500 at 900= 12,500

12,500 - 6,200 at 800= 6,300

6,300 - 4,100 at 700 = 2,200 at 600

Ending Inventory

3,000 at $600 = $ 1,800,000

COGS:

15,500 x 900 + 6,200 x 800 + 4,100 x 700 + 2,200 x 600 = 23,100,000

3 0

3 years ago

Transactions/events: 1. Acquired $25,000 from the issue of common stock. 2. Purchased $2,500 of supplies on account from the Gad

shepuryov [24]

Answer:

I guess that you need the journal entries:

1. Acquired $25,000 from the issue of common stock.

Dr Cash 25,000

Cr Common stock 25,000

2. Purchased $2,500 of supplies on account from the Gadget Supply Agency.

Dr Supplies 2,500

Cr Accounts payable 2,500

3. Performed security services at local sporting events during the year for $8,000 cash.

Dr Cash 8,000

Cr Service revenue 8,000

4. Paid salaries expense of $3,000 for the year.

Dr Salaries expense 3,000

Cr Cash 3,000

5. Purchased land, paying $10,000 cash.

Dr Land 10,000

Cr Cash 10,000

6. Paid utility expenses of $2,000 for the year.

Dr Utilities expense 2,000

Cr Cash 2,000

7. Paid a cash dividend of $1,500 to the shareholders.

Dr Dividends 1,500

Cr Cash 1,500

8. Found out from an appraiser that the market value of the land on 12/31 was $12,500.

NO JOURNAL ENTRY

7 0

3 years ago

A firm wants to use an option to hedge 12.5 million in receivables from New Zealand firms.The premium is $.03. The exercise pric

morpeh [17]

Answer:

d. $6,500,000 dollars

Explanation:

Hedging is a strategy used by investment firms that want to minimize the risk of loosing their investments, so what they basically do is giving up the actions and investments and get some money in return, the exercise price is what they will pay you for your total investment, and the premium fee is somthing you have to pay to hedge an investment:

So you multiply the 12.5 million by .55 which is the amount you´ll receive, and withdraw form that the premium:

12,500,000x.55=$6,875,000

12,500,000x.03=$375,000

$6.875,000-$375,000= $6,500,000

The firm will receive $6,500,000 dollars.

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3 years ago

Managers of profit centers usually have a. Given excessively high bonuses b. No discretion over decisions c. Most of their de

erastovalidia [21]

Answer:C

Explanation:most of their decision overseen by corporate executive..in an organization where profit is the main target every decision must be thoroughly checked

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3 years ago

Read 2 more answers

Regarding the tax treatment of payments to securities holders, it is true that _______________, while ____________________.

Regarding the tax treatment of payments to securities holders, it is true that _, while ______.