Answer:
c. An addition to (or a deduction from) the beginning balance of retained earnings
Explanation:
A prior period adjustment is the correction of an accounting error that occurred in the past and was reported on a prior year's financial statement, net of income taxes. Prior period adjustment are reported in the statement of retained earnings as an increase or a decrease in the beginning retained earnings. Therefore, the adjusted beginning retained earnings balance is the amount that retained earnings would have been if the error had not been made.
Answer:
There is three dots click there there is report option click there and send report
Answer: Government to customer (G2C)
Explanation:
Filing is one of the requirements of any business person to give proper record of what they did in their business and how they delivered to the masses. This is proper for tax clearance and returns. When filing your individual tax returns the value chain is known as government to customer (G2C). This is recommended.
Answer: $5510
Explanation:
For organizations cost up to $50,000, there'll be a deduction of $5000. The remaining non deductible expense will then be spread out for 180 months. Here, the non deductible cost will be:
= ($13200 + $7100) - $5000
= $20300 - $5000
= $15300
The capitalized cost will then be:
= $15300 / 180
= $85 per month.
Since there's an ammortization of 6 months from July, then the capitalized cost will be:
= $85 × 6
= $510
Therefore, the amount that should be deducted on its first tax return will be:
= $5000 + $510
= $5510
Answer:
Explanation:
Firms still choose to go for an IPO for the following reasons;
1. Majorly, it is a means of generating revenue. Revenue is generated when stocks are sold to the public.
2. It is also a means of reducing risk, The cost of running the business is spread across many investors, so is the risk.
3. There is reduction of the overall cost of capital and gives the company a more solid standing when negotiating interest rates with banks.
4. Companies can easily offer up stocks instead of cash in the acquisition of other companies or in the case of mergers.
5. Having stocks listed on NSE is a means of public exposure
Investors choose to buy stocks of IPO firms because the initial offering is usually at a low rate since the firm is still small and relatively unknown. This stocks bought at a cheap rates have the chance of rising thus generating gains for the investors.
