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3 years ago

Compute the charitable contribution deduction (ignoring the percentage limitation) for each of the following C corporations.

Business

1 answer:

blagie [28]3 years ago

4 0

Answer:

a. Amber Corporation donated inventory of clothing (basis of $138,500, fair market value of $173,125) to a qualified charitable organization that operates homeless shelters.

charitable donations are valued at fair market value, in this case that equals $173,125

b. Brass Corporation donated stock held as an investment to Western College (a qualified organization). Brass acquired the stock three years ago for $70,800, and the fair market value on the date of the contribution is $113,280. Western College plans on selling the stock.

Again, we must use the fair market value to record donations, in this case = $113,280.

c. Ruby Corporation donates a sculpture held as an investment and worth $200,800 to a local museum (a qualified organization), which exhibits the sculpture. Ruby acquired the sculpture four years ago for $80,320.

use fair market once more, = $200,800

Explanation:

When you donate assets to qualifying charities, it is always better to do it by donating the itself, not selling it before and then giving the money. If you sell the asset, you will owe capital gains taxes (either long or short term). By donating the asset directly, you avoid capital gains taxes.

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Which is the first step toward initiating efficient and effective international business negotiations:

Elza [17]

Answer: Selecting an appropriate negotiation team

Explanation:

The first step toward initiating efficient and effective international business negotiations is selecting an appropriate negotiation team.

When an appropriate negotiation team has been selected to negotiate on behalf of a particular company, negotiation becomes easier and are more feasible and both parties can agree on a particular stance.

6 0

4 years ago

The finance minister of a country considers several large, state-owned iron manufacturing units to be inefficient and a source o

lions [1.4K]

Answer: (D) Privatization

Explanation:

The privatization is one of the transferring process in which the various types management, industries and the enterprise are get transfer from the public to the private sectors.

In which the public sector is basically refers to the economical system that is executed by the various types of government agency.

The privatization process is basically help in increasing the growth and the economical efficiency in the system.

Therefore, Option (D) is correct.

3 0

4 years ago

Further From Center has 12,100 shares of common stock outstanding at a price of $55 per share. It also has 310 shares of preferr

VARVARA [1.3K]

Answer:

Market value of common stocks = 12,100 x $55 = $665,500

Market value of preferred stock = 310 x $91 = $28,210

Market value of bonds = 370 x $2,230 = $825,100

Market value of the company $1,518,810

Capital structure weight of preferred stocks

= $28,210/$1,518,810

= 0.0186

The correct answer is A

Explanation:

In this question, we need to calculate the market value of the company, which is the aggregate of market value of equity, market value of preferred stocks and market value of bond. The capital structure weight of preferred stock is the ratio of market value of preferred stock to market value of the company.

5 0

3 years ago

A firm suffering economic losses decides whether or not to produce in the short run on the basis of whether A. total revenues co

Vinil7 [7]

Answer:

A. total revenues cover total variable cost

Explanation:

In the case of the shory run, if the price is more or equivalent to the avergae variable cost so the firm would continue to operate

That means

P = AR >= AVC

where,

P = Price

AR = Average revenue

AVC = average variable cost

Therefore as per the given situation, the option A is correct

hence, the same is to be considered

3 0

3 years ago

Intangible assets are the rights and privileges that result from ownership of long-lived assets that:

Keith_Richards [23]

Answer:

d. do not have physical substance.

Explanation:

The total assets comprise of current assets, fixed assets, and the intangible assets

The current assets include cash, stock, account receivable, etc

Fixed assets include plant & machinery, land, equipment, furniture & fittings, etc.

And, the intangible assets include patents, copyrights, goodwill, and other intellectual properties

For the intangible assets, the amortization expense is considered, not the depreciation expense and the same is to be taken.

Like for goodwill, the impairment test is considered. These intangible assets have no physical substance that means they are not seen or even touched. It is not tangible in nature

7 0

3 years ago