Answer:
Carryover basis
In a Type A merger, the basis of the assets and liabilities carries over to the surviving entity.
Explanation:
Answer:
b
Explanation:
once a style is chosen all pieces should be in the designated style
Answer:
$14 million
Explanation:
Operating working capital = Operating current assets - Operating current liabilities
Operating working capital = $20 million - $6 million
Operating working capital = $14 million
The total net operating capital that XYZ, Inc. has is $14 million
Answer:
Increase
The accounts receivable asset shows how much money customers who bought products on credit still owe the business; this asset is a promise of cash that the business will receive. Cash doesn’t increase until the business collects money from its customers.
Answer:
The price should be recorded as $167,500
Explanation:
As per the accounting principles, assets should be recorded at the price they were paid for. In case of a purchase, the accountant should record in the books the amount the company paid to acquire the asset. For sales, the amount received from the buyer is the figure to be recorded in the books.
For Reliable Repair Service, there were different prices quoted, but the buyer paid $167,500. It means the company sold the land for $165,000. This is the amount that should be recorded in the books.
