Answer:
a. Riflebird Company is a <u>SOLE proprietorship</u> (Roger did not make any withdrawals from the business). Roger reports <u>$45,000</u> net operating profit and <u>$10,000 </u>long-term capital loss on his tax return.
Sole proprietorships are not taxed directly ,they are pass through entities. Their sole proprietor is taxed, and since individuals get taxed differently for ordinary income than capital income, they must segregate them.
b. Riflebird Company is a C corporation (no dividends were paid during the year). Roger reports <u>$35,000</u> net operating profit and <u>$0</u> long-term capital loss on his tax return.
Corporations do not segregate capital gains from ordinary income, so they must include them together in their income taxes.
Answer:
which of the following is not considered a credit?
overdraft fee
Explanation:
Answer:
C. Depreciation on delivery trucks.
Explanation:
Depreciation on delivery trucks is not part of manufacturing overhead for producing a computer. Manufacturing overhead is also referred as factory burden, factory overhead or production overhead, which comprises of all the manufacturing costs such as electricity cost, factory supplies, factory labor (not direct one), rent, insurance, heating, water and all other energy related costs, salaries, cleaning, oiling, greasing, servicing and repairs etc.
Depreciation on delivery truck is not included in manufacturing overhead, whereas, remaining all other options are the part of it.
Manufacturing overhead are the sum of all of the indirect material, labor and any other cost which can not be identified easily with the products and units produced in the manufacturing plant. These are assigned to the every produced unit on equal basis. For example, if your overhead cost is $50000 for the last year and you have manufactured 5000 units, then by dividing $50000 by 5000 units you can get your manufacturing over head cost which is $10 per unit.
Answer:
(A) 156.63 times
(B) 0.75
Explanation:
(A) The computation of the inventory turnover ratio is shown below:
Inventory turnover ratio = (Cost of goods sold) ÷ (Inventory)
= $2,005,020,050 ÷ $12,801,280
= 156.63 times
(B) The computation of the percentage of assets is shown below:
= (Total inventory) ÷ (total assets) × 100
= ($12,801,280) ÷ ($1,702,017,020) × 100
= 0.75