1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Furkat [3]
2 years ago
15

Blossom Inc., a real estate developing company, was accounting for its long-term contracts using the completed contract method p

rior to 2021. In 2021, it changed to the percentage-of-completion method.The company decided to use the same for income tax purposes. The tax rate enacted is 40%. Income before taxes under both the methods for the past three years appears below.
2019 2020 2021


Completed contract $300,000 $200,000 $100,000


Percentage-of-completion 500,000 250,000 180,000
Business
1 answer:
wel2 years ago
7 0

Answer:

Check the explanation

Explanation:

Percentage-of-completion(2013 + 2014) - Completed contract(2013 + 2014) * 1 -.40

= $500,000 + $ 250,000 - $300,000 +$200,000 *0.60

=$750,000-$500,000 * 0.60

=$250,000 * 0.60

=$150,000 to record the income effect

You might be interested in
Process redesign: a. is the fundamental rethinking of business processes. b. is sometimes called process reengineering. c. tries
notsponge [240]

Answer:

e. All of these is the correct answer.

Explanation:

  • Process Redesign is an approach of rethinking and recreating the business processes to improve product quality, reduce cost and improve the output and also to bring improvements in the performance.
  • Process redesign involves the analysis of inefficient processes and finds out the ways to improve them and also analyze the business workflows and processes.
  • Process redesign is also called as process reengineering or business transformation.
4 0
3 years ago
Simon Company had the following summarized operations for the month of May: Revenues earned: for cash, $32,000; and on account,
AlladinOne [14]

Answer:

$35,000

Explanation:

Given that,

Revenues earned:

cash = $32,000

on account = $18,000

Expenses incurred:

cash = $5,000

on account = $10,000

Net Income:

= Income - Expenses

= (Cash revenue + account revenue) - (cash expenses + Expenses on account)

= ($32,000 + $18,000) - ($5,000 + $10,000)

= $35,000

Therefore, the net income for the month of May is $35,000.

7 0
3 years ago
Capital gains refer to profits from the sale of investments. true false
madam [21]
It is true that capital gains refer to profits from the sale of investments. 
7 0
3 years ago
The four major expenditure categories of GDP are: Group of answer choices consumption, government purchases, taxes, and investme
Nimfa-mama [501]

Answer:

consumption, investment, government purchases, and net exports.

Explanation:

The Gross Domestic Products (GDP) is the measure of the total market value of all finished goods and services made within a country during a specific period.

Simply stated, GDP is a measure of the total income of all individuals in an economy and the total expenses incurred on the economy's output of goods and services in a particular country. The Gross Domestic Products (GDP) of a country's economy gives an insight to it's social well-being.

Basically, the four major expenditure categories of GDP are consumption, investment, government purchases, and net exports.

4 0
2 years ago
This year, the Tastee Partnership reported income before guaranteed payments of $161,500. Stella owns a 40% profits interest and
Aloiza [94]

Answer

The answer and procedures of the exercise are attached in the image below.  

Explanation  

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.  

5 0
3 years ago
Other questions:
  • Some​ governments, particularly in developing and emerging​ markets, are attempting to reduce losses that can occur when interna
    13·1 answer
  • The Stagnant Growth Corporation has paid a constant dividend of $2.50 per year for the past 3 years and is expected to continue
    15·1 answer
  • 3) Drew receives an inheritance that pays him $54,000 every three months for the next two years. Which of the following is close
    6·1 answer
  • Do the following functions exhibit increasing, con- stant, or decreasing returns to scale? What happens to the marginal product
    12·1 answer
  • A BUYER IS PURCHASING A HOME AND HAS ORDERED A HOME INSPECTION AND A A TERMITE INSPECTION. WHAT SHOULD THE BUYER ORDER TO PROTEC
    8·1 answer
  • Rodriguez Corporation issues 6,000 shares of its common stock for $96,000 cash on February 20. Prepare journal entries to record
    13·2 answers
  • A constant-cost industry
    6·1 answer
  • Find two cases of life insurance fraud. Write a paragraph for each one explaining the details given. (how was the fraud committe
    15·1 answer
  • Assignments in which there is a mismatch between an employee's skills and past experiences and the skills required for success o
    12·1 answer
  • sincerity is a valuable attribute when declining a promotion.; explain how companies choose employees to consider for promotion.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!