Answer:
$185,000
Explanation:
According to the given situation, the computation of gain is shown below:-
Recognized gain = Amount realized—stock - Adjusted basis of property transferred
= $200,000 - $15,000
= $185,000
Therefore, for computing the recognized gain we simply applied the above formula.
Hence, the gain realized on the transaction is $185,000
Answer:
a. $80,000
Explanation:
In this question we are only concerned about the net income reported by Dodge on its income statement.
First we need to calculate ownership % in 2012 = 15% + 25% = 40%
Net income of 2012 (Gates) = $ 200000
hence Dodge will report net income of 40% of 200000 = $80000
Hence the correct answer is A
Note: Dividends will not affect the investors net income but it would reduce the investment value of Gate reported by Dodge (as it is seen as a return on investment)
Answer:
For safety
Explanation: it is safe because only the name of recipient is able to cash the check at a bank or other financial institution
Answer:
Explanation:
Opening units 0
Started 56000
56000
Transffered 30000
Closing 26000
Production Table
Using Weighted Average Method
Cost Element Complete Closing WIP Equivellant production units
Material 30,000 26,000 56,000
Labour Cost 30,000 19,500 49,500
