Answer:
a. Stock dividends
Explanation:
As we know that the cash flow statement records those transactions which deals in cash only.
It includes three types of activities
1. Operating activities: It records payment of expenditures, cash receipts, changes in working capital
2. Investing activities: It records inflow and outflow of long term assets
3. Financing activities: It records the stockholder equity related transactions
Since in the given case, the related disclosure do not report the stock dividend as it does not involved any kind of cash transactions
Answer:Don's casualty loss deduction=$ 770
Explanation:
A Casualty loss is an unexpected or sudden financial loss that occurred as a result of damage or loss of property. It will be calculated as follows
Adjusted basis at the time of accident $1,500
Repair cost on account of accident $2,750
Amount of casualty loss before the adjustments $ 1,500
( which is the Lessor of $ 1,500 and $ 2,750)
Deduct :
Reimbursements gotten from insurance $ 730
Don's casualty loss deduction = $ 1,500 - $ 730 = $ 770
Answer:
Units of production method: $76,820
Explanation:
The three most common depreciation methods are: straight line, double-declining, and units of production. We will calculate the depreciation expense for each.
Straight line method:
Depreciable amount= cost - residual value
= 240,000 - 40,000
= 200,000
Depreciation by year = depreciable amount / years of useful life
= 200,000 / 8
= 25,000
Double declining method
Depreciation per year = depreciable amount x (2 / useful life in years)
= 200,000 x (2 / 8)
= 50,000
Units of production method
Depreciation per unit = depreciable amount / hours of operation
= 200,000 / 12,000
= 16.7
Total depreciation = depreciation per unit x actual units of operation
= 16.7 x 2,400 + 2,200
= 16.7 x 4,600
= 76.820
Therefore, the units of production method results in the highest depreciation expense among the three.
They are estimating the Nominal GDP. The Nominal GDP measures the quarterly economic output that occurred in the year. This would analyze production, employment, all the elements in the financial circulation. This is different from the real GDP because here it would include the inflation of prices that occurred. Nominal GDP only reflects on the economical changed within the current year regardless of inflation.
They can go to a well known reputable counsellor and both present their points of view and their reasoning and discuss it with the counsellor who should be able to delve into the reasoning for their moral positions and perhaps find common ground for the two positions or point out inconsistencies in the arguments of one to increase understanding of the other parties's position and arrive at a mutually beneficial result.
