Answer:
Explanation:
Base on the question been given to us, we can solve this using equity method as seen below
Investments in Polo = 300000+0.75*(40000-10000-5000*)
300000+0.75*(25000)
300000+18750
$318,750
Increase in value of Patent $50,000
Economic Life 10
Amortization $5,000
The $ 5000 would be reduced from the net income
Answer:
Check Clearing
Explanation:
The process by which bank records which account gives up money is called check clearing. Check clearing is the process by which banks record whose account gives up money and whose account receives money when a customer writes a check. A bank holding company is a company that owns multiple banks.
Arvrage cost is the total cost divided by the number of units.
Answer:
$9,240 loss recognized
$43,000 basis
Explanation:
Tax basis of share purchase is the cost of share together with any tax related to this purchase.
Mr. Slake's loss recognized on the February 13 sale is $9,240 = total cost of 1,580 share purchased in the past - total amount collected from sales of these share = $49,240 - $40,000 = $9,240
His tax basis in purchase of 1,600 shares on Mar 2 is $43,000, the total cost he paid to acquire 1,600 shares
