Answer:
C) $120,000
Explanation:
Since Copper corporation owns 65% of Bronze Corporation, its dividends received deduction (DRD) is 80% of the dividends received.
- stake at another corporation is less than 20%, DRD = 70%
- stake at another corporation is between 20% to 80%, DRD = 80% (Copper's case)
- stake at another corporation is higher than 80%, DRD = 100%
Therefore, if Copper received $150,000 in dividends from Bronze, it can deduct 80% of that amount = 80% x $150,000 = $120,000
Answer:
Hart Corp.'s note should be reported at $10,000
Maxx Inc.'s note should be reported at $7,883
Explanation:
Interest bearing notes that represent current accounts (due within one year) should be reported at face value. Hart Corp.'s note is due in nine months, so it should be reported at = $10,000
Maxx Inc.'s note must be recorded at present value because it is due in 5 years.
FV = $10,000 x 1.03⁵ = $11,592.74
now we must determine its present value using an 8% discount rate:
PV = $11,592.74 x 0.680 = $7,883
Answer: The answer is Discontinued Operation.
Explanation: Discontinued Operation in financial accounting is a term that is used to refer to part(s) of a company’s line of businesses or products that have been sold or shut down.
Discontinued operations are reported on the income statement, but separately from continuing operations.
The decision to list discontinued operations separately on the income statement is useful because it shows investors where the profits are coming from and which operations have ceased to function, especially useful when companies are about to merge.
Answer:
The correct answer is D.
Explanation:
Monopolistic competition is a type of imperfect competition such that many producers sell products that are differentiated from one another as goods but not perfect substitutes (such as from branding, quality, or location). In monopolistic competition, a firm takes the prices charged by its rivals as given and ignores the impact of its own prices on the prices of other firms.
Monopolistic competitive markets:
have products that are highly differentiated, meaning that there is a perception that the goods are different for reasons other than price;
have many firms providing the good or service;
firms can freely enter and exits in the long-run;
firms can make decisions independently;
there is some degree of market power, meaning producers have some control over price; and
buyers and sellers have imperfect information.
Answer:
d. junior sales reps
Explanation:
Having developed the majority of the accounts and experiencing vast growth at the moment, Dave's firm has gone through the hard moments of building up an account base.
Significantly simpler task (but not negligible) is the task regarding the maintenance and customer care of established accounts (order getting, order taking, or sales support). Having that in mind, it is evident that those duties can be taken care of by junior sales representatives.
These representatives are innovative and responsible when it comes to maintaining existing accounts. They know how to perform proper analyses that would help them establish a strong sales connection with a particular account. Also, they can handle diverse account groups, while it is better to keep the customer acquisition process for senior sales reps.
