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gayaneshka [121]
3 years ago
7

Darryl, a cash basis taxpayer, gave 1,000 shares of Copper Company common stock to his daughter on September 29, 2020. Copper Co

mpany is a publicly held company that has declared a $2.00 per share dividend on September 30th every year for the last 20 years. Just as Darryl had expected, Copper Company declared a $2.00 per share dividend on September 30th, 2020 payable on October 15th, to stockholders of record as of October 10th. The daughter received the $2,000 dividend on October 18, 2020.How does this information impact who must recognize the dividend as income?
A. Darryl must recognize the $1,000 dividend as his income because he knew the dividend would be paid.
B. Darryl must recognize $750 of the dividend because he owned the stock for three fourths of the year.
C. Darryl must recognize the income of $1,000 because he constructively received the $1,000.
D. The daughter must recognize the income because she owned the stock when the dividend was declared and she received the $1,000.
E. None of the above
Business
1 answer:
german3 years ago
5 0

Answer:

D. The daughter must recognize the income because she owned the stock when the dividend was declared and she received the $1,000. (or $2,000?)

Explanation:

The daughter possessed the bond when the dividends were declared and she also collected the $2,000 dividends. An investor must recognize revenue when the right to receive the dividend is established by the company, in other words, when the dividend was recorded.

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It can be Undefined or Zero
8 0
3 years ago
Suppose that the adult population in some country is 225 million. If 40 million are unemployed and 100 million are employed, the
Yakvenalex [24]

Answer:

28.57%

Explanation:

The computation of the unemployment rate is shown below:

Unemployment rate = (Number of Unemployed workers) ÷ (Total labor force) × 100

where,  

Total labor force would be = Unemployed + employed

= 40 million + 100 million

= 140 million

So, the unemployment rate would be

= 40 million ÷ 140 million

= 28.57%

It should always be expresses in a percentage form.

3 0
4 years ago
As a corporation grows in size of employment, perhaps becoming influential nationally or globally, what public perception is dev
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As a corporation grows in size of employment C. perceived permanence​ is developed.

A enterprise, every so often called a C corp, is a legal entity it really is cut loose its proprietors. corporations could make a income, be taxed, and may be held legally liable. corporations offer the most powerful safety to its proprietors from personal legal responsibility, but the value to form a enterprise is higher than other structures.

A employer is a standard reference to a enterprise whereas a corporation is a reference to a particular type of commercial enterprise entity. A corporation is owned through its shareholders while a organization may be owned either by the commercial enterprise owner in complete (sole proprietorship), several people

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5 0
2 years ago
A​ company's production department was experiencing a high defect rate on the assembly​ line, which was slowing down production
Novosadov [1.4K]

Answer:

The correct answer to the following question is Unfavorable direct material cost variance .

Explanation:

Unfavorable variance can be defined as an accounting term which describes situations where the actual cost that a company would bear is more than the standard cost. This will alert a management that there will be fall in the expected profit of the company. In the given question , same situation will take place if the production manager decides to buy high grade materials which will cause more cost and thus will lead to decrease in profit.

6 0
4 years ago
On January 15, Marigold Corp. sells merchandise on account to Bramble Associates for $5700 with terms 2/10, n/30. On January 20,
mr Goodwill [35]

Answer:

Marigold Corp.

The amount received from Bramble is $4,508.

Explanation:

a) Computation of Amount Received:

Jan. 15 Sales = $5,700

Jan. 20 Returns (1,100)

Balance due     $4,600

Jan. 24 discount  ($92)

Cash collected $4,508

b) Discount allowed = 2% of $4,600 = $92

c) This is in accordance with the trade terms 2/10, n/30, which allows a cash discount of 2% if payment was made within 10 days from the date of purchase, with the last allowed credit within one month.  From January 15 to January 24 is 10 days.  So, the cash discount of 2% applies on the balance due after the sales returns.

3 0
3 years ago
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