When we read a visual text, we look for certain conventions to help us:

If a schedule c taxpayer does not bring the tax professional documentation to prove income

nekit [7.7K]

If a schedule c taxpayer does not bring the documents to prove the income, one cannot claim the Earned Income Tax Credit. Also the return cannot be prepared by the tax professional however one can make a form 1099 MISC to indicate their own income and lastly they should give other proofs that the income is accurate so that the paper for return can have the sign needed.

Download docx

4 0

4 years ago

Mirtha Mudflat has sufficient funds to choose one of two investments. The same amount will be invested in either case. Choice on

vichka [17]

Answer:

risk premium is 4%

Explanation:

given data

investment = $100000

rate = 5%

rate = 4 %

cash flow = $9000

to find out

What is the risk premium

solution

we know here invest is done in more return so risk is always here taht is risk premium and invest here $100000 with 5 % so

return of investment is $5000

so here rate of investment is 5 %

and

we have given same amount cash flows of $9000 per year

so rate of investment will be 9%

so here

risk premium will be 9% - 5%

so risk premium is 4%

7 0

3 years ago

Dion, a shareholder, owned 20% of MedowBrook’s stock for 292 days and 25% for the remaining 73 days in the year. Using the per-d

Igoryamba

Answer:

Ordinary Income allocation $12,600

Tax-exempt interest allocation$210

Charitable contribution allocation $714

Explanation:

Ordinary Income allocation:

For 20% ownership: $60,000 * [20% * (292/365)] = 9,600

For 25% ownership: $60,000 * [25% * (73/365)] = 3,000

Total 9,600 + 3,000 = $12,600

Tax-exempt interest allocation:

For 20% ownership: $1,000 * [20% * (292/365)] = 160

For 25% ownership: $1,000 * [25% * (73/365)] = 50

Total 160 + 50 = $210

Charitable contribution allocation:

For 20% ownership: $3,400 * [20% * (292/365)] = 544

For 25% ownership: $3,400 * [25% * (73/365)] = 170

Total 544 + 170 = $714

8 0

3 years ago

What happens when demand exceeds supply?

anygoal [31]

Answer:

B

Explanation:

Since demand increased more people want it, which would make it more logical to increase the price

7 0

3 years ago

g a. Provide the journal entry if the investor purchases the assets and assumes the liabilities of the investee company.

iragen [17]

Answer:

Debit : All assets bought at their Fair Value Amounts

Debit : Goodwill (if Payment is greater than Net Assets acquired)

Credit : All liabilities assumed at their Fair Value Amounts

Credit : Method of payment for example cash

Credit : Gain on acquisition (if Net Assets acquired are greater than Payment)

Explanation:

Hi, your question is incomplete, i tried to look for the full question online but i could not find it.

However, below is an explanation to solving the problem.

An acquisition of investee Assets and Liabilities is not a business combination transaction that requires preparation of consolidated financial statements.

A business combination is a transaction or event in which an ACQUIRER obtains CONTROL of one or more Businesses. So, if it is not a business, it is a mere ASSET ACQUISITION transaction.

Thus said, in our question investor purchases the assets and assumes the liabilities of the investee company, this is an Asset Acquisition transaction and not a Business Combination transaction.

The excess of consideration paid over the net assets acquired at fair value is called goodwill and must be recognized. If not the case the excess of net assets acquired over purchase price (gain on acquisition) must be recognized.

Below are the accounting entries to record an Asset Acquisition transaction.

Debit : All assets bought at their Fair Value Amounts

Debit : Goodwill (if Payment is greater than Net Assets acquired)

Credit : All liabilities assumed at their Fair Value Amounts

Credit : Method of payment for example cash

Credit : Gain on acquisition (if Net Assets acquired are greater than Payment)

5 0

3 years ago