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Katen [24]
3 years ago
11

Paper Corporation adopts a plan of reorganization and exchanges 1,000 shares of its voting stock and $50,000 in cash for Chase C

orporation's assets having a $200,000 adjusted basis and a $275,000 FMV. Chase Corporation is subsequently liquidated. What is Paper Corporation's basis in the assets acquired in the exchange?
Business
1 answer:
Elan Coil [88]3 years ago
3 0

Answer:

$200,000

Explanation:

According to the historical cost principle, the fixed assets should be recorded at the purchase cost or book value in the books of accounts, not the fair market value.

According to the given scenario, the Asset value should be recorded at the adjusted basis i.e $200,000 not the $275,000 i.e fair market value

The number of shares and the cash balance should be ignored.

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Elaborate on the meaning of contemporary socio-economic issues.​
saul85 [17]

Answer: See explanation

Explanation:

Contemporary Socio-economic issues are the challenges that are faced by the society. It should be noted that these problems and challenges have s negative impact on the economy and the society as a whole.

Some of the contemporary socio-economic issues that are faced by the society are poverty, corruption, illteracy, unemployment, etc.

These issues poses a challenge to the government and government seek ways to address them.

4 0
3 years ago
____ are spending by the government on​ goods, services, and factors of production.
AlladinOne [14]

Answer:

The correct words for the blank spaces are: Government purchases; Government Expenditures.

Explanation:

Government purchases refer to the expenses the central government incurs in federal, state, and local agencies. These purchases represent part of the <em>Gross Domestic Product</em> (GDP) of the country considering transfer payments are not including in these expenditures.

When the transfer payments are added to the government purchases the result represents the Government Expenditures. It is one of the factors of the GDP along with private investments, individuals' consumption, and net exports (exports minus imports).

4 0
3 years ago
In 2016, teller company sold 3,000 units at $600 each. variable expenses were $420 per unit, and fixed expenses were $270,000. t
Anit [1.1K]
Assuming that you have the values for the year 2017, the break-even point would be 1500 units for the year 2017. To calculate this, we use the idea that at the breaking point, total sales is equal to the total cost or expenses made. Which would be:

selling (x) = fixed + variable (x)

x = fixed / (selling - variable)
x = 270000 / (600-420)
x = 1500 units
6 0
3 years ago
You are currently earning 12% (APR) compounded semiannually. Your investment company is switching all accounts to daily compound
Sav [38]

Answer:

The rate that will give the same effective annual rate of return is 0.033%.

Explanation:

a) Data and Calculations:

APR = 12%

Semi-annual compound rate = 6% (12/2)

Assumed calendar days in a year = 360 days

Effective daily rate of return = 12%/360 = 0.033%

b) The conversion of semi-annual compounding to daily compounding results in reduced rate of return.  In this case, we assume that there are 360 days in a year.  Since the APR = 12%, it means that the daily rate of return will be 12%/360, which is 0.033%.

6 0
3 years ago
Which buying method can save money but means you must have trust in the reliability of your supplier?
zhuklara [117]

Which buying method can save money but means you must have trust in the reliability of your supplier?

Just in time

7 0
2 years ago
Read 2 more answers
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