Answer:
The amount of gain that Red Blossom recognize in the exchange is $322500 and its basis in the land it receives is $635000.
Explanation:
Red Blossom recognize the gain
= Fair market value of land – corporation basis
= $635000 - $312500
= $322500
Basis of Land = Fair market value
= $635000
$322500 gain recognized and a basis in the land of $635000
Therefore, The amount of gain that Red Blossom recognize in the exchange is $322500 and its basis in the land it receives is $635000.
Answer:
d. The gain of $5,000 is deducted in the operating activities section of the statement of cash flows.
Explanation:
Printing machine is fixed Asset and gain on sale of fixed assets are deducted in operating activities before changes in working capital as it is non operating income and these are deducted from the figure of net profit which is shown in operating activities.
Answer:
Explanation:
The journal entries are shown below:
On Jan 1 - Cash A/c Dr $5,000,000
To Bonds Payable A/c $5,000,000,
(Being bond is issued)
On June 30 - Interest expense A/c Dr $150,000
To Cash A/c $150,000
(Being interest paid for cash)
On December 31, Bonds Payable A/c Dr $5,000,000
To Cash A/c $5,000,000
(Being payment of principal is recorded on the maturity date)
Answer: E. luxury; necessity
Explanation:
Income elasticity of demand is a measure of how the demand for a good or service change when people's income changes. It the ratio of the percentage change in quantity demanded to the percentage change in income.
Answer:
Yes you can of course you can
