Answer:
The corporation tax of company for interim financial reporting must be determined using previous quarter corporation tax amount minus previous quarter tax surplus or plus previous quarter tax deficit.
Explanation:
This is one of the way we estimate the corporation tax which helps in the better estimation. This way of estimating the corporation tax is recommended methods by the International Accounting Standard IAS 12 Taxes, for estimating taxes for interim and yearly financial reporting.
Pure competition or perfect competition is where all firms have full knowledge of what is going on in the market, where there is free flow of information between not only the producers, but also with the consumers.
As such, all firms have no dominant share of market power since each individual firm is able to produce the good of the same quality and quantity (factors of production are fluid, and no costs in transportation in this theory). And at the same time, consumers have full knowledge of the quality of good they are getting and hence no firm will be able to exploit the misinformation of a good for its own profits.
This builds up to the point of a perfectly elastic demand curve, where consumers know what amount and at which price point do they value the product at. And knowing for the fact that small individual firms in a purely competitive firm have no say over prices, they become the price takers for this kind of market. Thus where MB=MC, the equilibrium point is reached and it is also at the socially optimal level since all consumers have full knowledge of the pros and cons of consuming a product (hence no externalities).
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Answer:
Dr Retained Earnings 500,000
Cr Com. Stock Dividend Distributable 100,000
Cr Add’l Paid – in Capital, Com. Stock 400,,000
Explanation:
Preparation of the journal entry
Dec. 31
Dr Retained Earnings 500,000
[(100,000 x (50/100)* 10 market price]
Cr Com. Stock Dividend Distributable 100,000
[(100,000 x (50/100)*2 par value ]
Cr Add’l Paid – in Capital, Com. Stock 400,,000
(500,000 – 100,000 )
Answer:
The correct answer is rationalization.
Explanation:
The concept of rationalization was given by Max Weber. According to him, rationalization is a process through which modern society is getting more and more concerned towards efficiency and predictability.
Efficiency can be defined as getting maximum results from minimum efforts, or in other words, maximum revenue from incurring minimum costs so as to maximize profits.
In Weber's views, this economic principle is now being increasingly involved in the day to day life.
