Answer: The correct answer is "a. have components arrive at a manufacturing plant just in time to enter the production process.".
Explanation: Just-in-time inventory systems <u>have components arrive at a manufacturing plant just in time to enter the production process.</u>
The just-in-time method is a production organization system for factories, of Japanese origin, which allows to reduce inventory costs of raw materials and products already made. JIT is about getting supplies to the factory, or products to the customer, "just in time," that is, just before they are used and only in the quantities needed. This is done to eliminate the need for store and transfer raw materials from the warehouse to the production line.
Answer:
The day the property was contributed.
Explanation:
A holding period refers to the time period an asset or investment is held by a business or an investor, or the period between when the asset is bought and when it is sold.
The character or type of an asset contributed to a partnership in exchange for a capital and profits interest determines the beginning of the partner’s holding period as follows:
1. If the capital asset or property contributed by the partner has been used in a trade or business just before it is contributed to the partnership, the holding period of the partner for the partnership interest will include the holding period of the capital asset or property contributed.
2. If the capital asset or property contributed by the partner is exchanged for money, capital or other property, the beginning of the holding period of the partner in the day of acquisition of the interest, i.e., the day the property was contributed.
Since the question states that the property is contributed to a partnership in exchange for a capital and profits interest, rule number 2 above therefore applies. That is, the partner’s holding period begin for the partnership interest the day the property was contributed.
Answer:
Detailed step-wise solution is given below:
The deduction in the year of purchase for E&P purposes due to the acquisition and expensing of the equipment is: <u>$3,000</u>.
<u>Explanation</u>:
E&P refers to accumulated earnings and profits in accounting term. The term was commonly related with the stockholders of corporations. Accumulated earnings and profits are generally calculated by obtaining the net profit of the company after paying dividends to the stockholders.
The economic ability of the corporation can be measured through E&P. In the above scenario, the Boxer Corporation purchases equipment for $15000 with seven-year of class life. This purchase comes under the <u>Sec.179</u>. The deduction in the year of purchase for E&P purposes will be $3000 for Boxer Corporation.
Answer: Keeping a log of business expenses Ignoring earnings from a lawn mowing business (Tax evasion )
Not reporting interest earned on a savings account ( tax avoidance )
Keeping a log of contributions to a charity ( tax avoidance )
Not reporting tips Claiming your dependents as tax deductions ( tax evasion )
Explanation: by keeping a log of expenses and ignoring the income of a lawn business you are deliberately carrying out tax evasion because you are not declaring your total earnings and profits.
By not reporting interest earned on a savings account you are devising a means to pay a lower tax legally.
Keeping a log of donations to charity
this is a perfect example of tax avoidance because by donating to charity you are trying to avoid paying high taxes legally.
By not reporting tips earned you are trying to evade paying additional tax.
B. Usually when you engage in tax evasion you risk exposing yourself to greater cost, which usually higher than normal. Once discovered fine payable can be as much as three times the amount concealed.
