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3 years ago

You are given the following facts about a 40% owner of an S corporation, and you are asked to prepare her ending stock basis.

Business

1 answer:

barxatty [35]3 years ago

6 0

Answer:

$74,120

Explanation:

Preparation of her ending stock basis

ENDING STOCK BASIS:

Beginning stock basis $36,800

Add:Increase in AAA $12,800

(.40 * $32,000)

Add:Increase in OAA $2,520

(.40 * $6,300)

Add:Stock purchase $22,000

Total Ending stock basis $74,120

Therefore her ending stock basis is $74,120

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The management of Furrow Corporation is considering dropping product L07E. Data from the company’s budget for the upcoming year

Maru [420]

Answer:

Sales 950,000

Less: Relevant cost:

Variable expenses 380,000

Avoidable fixed manufacturing expenses 217,000

Avoidable fixed selling and administrative expenses 178,000

Contribution 175,000

The total profit of Furrow Corporation reduces by $175,000 if the product is discontinued.

Explanation:

In this question, there is need to determine contribution, which is the excess of sales over relevant costs. Relevant costs are comprised of variable cost and avoidable fixed costs. The product should not be discontinued since the contribution is positive. Deleting a product with positive contribution reduces the total profit of the company by the amount of positive contribution.

7 0

3 years ago

The next day kade opens the letter in order to proofread it. he realizes that there is some formatting in part of the letter tha

dedylja [7]

After using the format painter, he wants to turn it off. The key he should press is the Esc key. It is f<span>ound on most computer keyboards and used for any of various functions, as to interrupt or cancel the current process or running program, or to close a pop-up window.</span>

8 0

3 years ago

Phil, age 20, is single and can be claimed as a dependent on his parent's return. He had $150 in interest income and wages of $7

Korvikt [17]

Answer: B - $7,150

Explanation: Standard taxation is an option by IRS to reduce an inidvidual taxable income. this is subject to an individuals filling status.

Phil who is aged 20, single and who can claim a dependent on his parents tax filling return. As of 2019, his standard tax deduction is limited to his earned income plus $350.

According to the above question, Phil earns $7,000 as wages plus $150 in interest income.

From the above information, Phil has a standard tax of $7,150.

3 0

3 years ago

In an automobile company, the vice president of research and development wants to plan and coordinate the launch of a new car wi

nikdorinn [45]

Answer

Hi,

This type of communication could be interpersonal communication or formal communication

Explanation

Interpersonal communication occurs in company when it is done between two or more individuals at a workplace. For this case, the communication was between the vice president of research and development and the vice president of marketing. This could also be a formal communication where a hierarchy at the workplace is followed because the two vice presidents from different departments first talked before involving junior staff members. In this case, the two vice presidents are communicating formally with each other to get work done.

Welcome!

4 0

3 years ago

Hex Industries reports the following information for May: Sales $ 990,000 Fixed cost of goods sold 118,000 Variable cost of good

Semmy [17]

The gross profit of Hex Industries for May under absorption costing is $604,000.

<h3>What is absorption costing?</h3>

Under absorption costing, the total or full costs of manufacturing or (variable and fixed) cost of goods sold are included when determining the gross profit.

<h3>Data and Calculations:</h3>

Sales $ 990,000

Variable cost of goods sold 268,000

Fixed cost of goods sold 118,000

Total cost of goods sold = $386,000

Gross profit = $604,000 ($990,000 - $386,000)

Fixed selling and administrative costs 118,000

Variable selling and administrative costs 143,000

Total period costs = $261,000 ($118,000 + $143,000)

Net income = $343,000 ($604,000 - $261,000)

Thus, the gross profit of Hex Industries for May under the absorption costing method is $604,000.

Learn more about the absorption costing method at brainly.com/question/14609187

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4 0

2 years ago