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Alekssandra [29.7K]
3 years ago
14

True or false: Contributions of cash and property to a corporation in exchange for shares of the corporations stock can be tax d

eferred.
Business
1 answer:
LUCKY_DIMON [66]3 years ago
5 0

Answer:

True

Explanation:

According to the United States of America Code, under section 351, which basically deals with the transfer to a corporation controlled by the transferor, it is TRUE that contributions of cash and property to a corporation in exchange for shares of the corporation stock can be tax-deferred.

Hence, it can be concluded that the correct answer to this question is definitely TRUE.

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Indicate in which financial statement each item would most likely appear: income statement (I), balance sheet (B), statement of
kherson [118]

Answer:

Assets (B)

Cash from operating activities  (CF)

Dividends  (E)

Equipment  (B)

Expenses  (I)

Liabilities  (B)

Net decrease (or increase) in cash  (CF)

Revenues  (I)

Total liabilities and equity (I)

Explanation:

The balance sheet shows the assets, liabilities and equity of an entity as at a given date.

The income statement shows the revenue and expenses of the entity for the period ended while the statement of retained earnings shows the movements within the retained earnings account during the review period.

The statements of cashflow shows the net flow of cash from the company's activities namely; Operating, investing and financing activities.

4 0
3 years ago
Plant assets often require expenditures subsequent to acquisition. It is important that they be accounted for properly. Any erro
Vera_Pavlovna [14]

Answer:

Indicating whether the expenditure should be capitalized or expensed in the period incurred:

a. Improvement = capitalized

b. Replacement of a minor broken part on a machine = expensed

c. Expenditure that increases the useful life of an existing asset = capitalized.

Explanation:

The expectation of costs producing an economic benefit beyond the current year or within the normal course of an operating cycle determines whether to capitalize or expense the costs.  When an item of expenditure is capitalized, it means that the expense recognition is delayed.  When the cost is expensed, it is treated as an expense in the income statement, whereas a capitalized cost is taken to the balance sheet, with only the depreciation expense portion recognized as expense for the period.

4 0
3 years ago
Jennifer is a salesperson for a business insurance company. Recently she told several of her customers about new legislation tha
weqwewe [10]

Answer: Customer oriented.

Explanation:

The customers would see Jennifer as a customer oriented salesperson, who has the best motives for her customers. A customer oriented salesperson is very interested in making sure their customers succeed in achieving their goals.

8 0
3 years ago
What is the failure rate for a franchise?
monitta
Approximately 5% of franchises fail because survey's show about 95% success rate still in business.
6 0
3 years ago
A city Enterprise Fund was awarded an operating grant during the fiscal year. Assuming qualifying costs were incurred during the
Anvisha [2.4K]

Answer:

the Correct Answer is " Non-operating revenues"

Explanation:

A city Enterprise Fund got a working award during the monetary year. The Enterprise Fund will report this award on the announcement of incomes, costs, and changes in net situation as Non-operating revenues. However, Non-operating revenues is the segment of an association's salary that is gotten from exercises not identified with its center business activities. It can incorporate things, for example, profit salary, benefits or misfortunes from ventures, just as additions or misfortunes brought about by outside trade, and resource compose downs.

3 0
3 years ago
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