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Mashutka [201]
3 years ago
14

A company acquires a 25% investment in another corporation. The reporting of this investment depends primarily onThe percentage

of ownershipThe length of time that the investor intends to own the investmentTechnology dependencyMaterial intercompany transactionsThe degree of influence that the investor has over the investee
Business
1 answer:
balu736 [363]3 years ago
3 0

Answer: The degree of influence that the investor has over the investee.

To report this investment within the company's financial statements, according to IFRS, they depend into two options:

  1. Stock control: An entity controls a business when it is exposed or has rights over earnings and has the ability to affect these results through its power in the business.
  2. Minority percentage: The acquirer recognizes in their books an uncontrolled participation and in this case, no decisive decisions can be made.

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Which term is defined as the lack of satisfaction a person receives from using a product repeatedly
Studentka2010 [4]
Income effect - This is the increase or decrease in purchasing power brought on by changes in prices.

substitution effect-This refers to how people may buy a lower-priced product rather than a more expensiv product. This effect may change the demand for a good or service.

5 0
3 years ago
Is the sole shareholder of a corporation. for the past five years, has reported little or no taxable income as a result?
OleMash [197]

For the past five years, Logan has reported little to no taxable income because he paid Graham a salary of $500,000 a year.

Multiply that result by the number of shares held for each individual shareholder. Complete Appendix K, the form companies must submit to list the amount of income attributable to each shareholder for the tax year.

The gross S Corporation income (or loss) reported in Appendix E is included in the income from rentals, royalties, partnerships, S Corporations, trusts, etc. section of an individual's Form 1040.

S corporation tax rate refers to the federal, state, and local personal income taxes an S corporation must pay. S Corporation owners must pay state and local income taxes ranging from 0% to 13.3% and a maximum federal income tax of 39.6%.

Learn more about shareholder at

brainly.com/question/25686394

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5 0
2 years ago
Atkins Company collected $1,750 as payment for the amount owed by a customer from services provided the prior month on credit. H
AURORKA [14]

Answer: B. One asset would increase $1,750 and a different asset would decrease $1,750, causing no effect

Explanation:

From the information given in the question, the journal entry at the time of sales will be represented as:

Debit Accounts receivable $1,750

Credit Sales $1750

Now, when the credit receipt is received as illustrated in the question, the journal entry will be:

Debit Cash $1,750

Credit Accounts receivable $1,750

Therefore, one asset would increase $1,750 and a different asset would decrease $1,750, causing no effect.

The correct option is B.

7 0
3 years ago
When the allowance method is used to account for uncollectible accounts, Bad Debts Expense is debited when A. a customer’s accou
MaRussiya [10]

Answer:

Option D. management estimates the amount of uncollectibles

Explanation:

When the company estimates the bad debts, reflects it in the balance sheet through a Debit entry in the Bad Debt Expenses againts the asset account Allowance for Doubtful Accounts as a Credit.

When the bad debt are confirm as uncollectible the loss is reflected in the Account Receivable as a Credit with the correspondent debit entry in the Allowance for Doubtful Accounts.    

7 0
3 years ago
Computing Income Taxes
Anastaziya [24]

Answer:

The​ corporation's tax liability is $ 228,820.

Explanation:

To calculate tax liability we first have to find net profit. Detail calculation is given below.

<u><em>Net profit Calculation</em></u>

Sales                                                                                 $ 3,130,000

cost of goods sold and the operating expenses          ($ 2,080,000)

Interest expense                                                              ( $ 377,000)

Net profit                                                                           $ 673,000

<u><em>Tax liability Calculation</em></u>

Income fall under Tax bracket of  34%  ($75,001 to ​$10,000,0000 for corporate tax. No additional surtax will be charged as income do not fall under its net.

Tax liabilty = 673,000 * 34% = $ 228,820

​

5 0
3 years ago
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