Answer:
a. True
Explanation:
Under the U.S corporate tax laws, when a taxpayer transfers property subject to a mortgage to a controlled corporation in an exchange qualifying under section, § 351, the transferor shareholder’s basis in stock received in the transferee corporation is increased by the amount of the mortgage on the property.
Answer:
The correct answer is B: $3,400
Explanation:
Giving the following information:
During March, Indrisano purchased three cars for $12,000, $14,400, and $19,200, respectively. During March, two cars are sold for a total of $34,600. Indrisano determines that on March 31, the $14,400 car is still on hand.
Sales= 34,600
Cost of goods sold= 12,000 + 19,200= 31,200
Gross profit= $3,400
Explanation:
I = Prt
I = (10000)(.11)(4) = $4400
Total Cost = Down Payment + Principal Borrowed + Interest
Total Cost = 2000 + 8000 + 4400
= $14,400
Monthly Payment = (Principal Borrowed + Total interest) / Total number of payments
Monthly Payment = (10,000 + 4400) / 48
= $300
APR= (2 × n × I) / [P × (N + 1)]
APR = (2 × 12 × 4400) / [10,000 × (48+1)]
= 21.55%
Answer:
The answer is: D) Common Stock $10,000 and Paid-in Capital in Excess of Par-Common Stock $2,000.
Explanation:
The common stock must be recorded at par value at the Common Stock account.
Any extra money obtained by issuing stock and selling it over its par value has to be recorded in the Paid-in Capital in Excess of Par-Common Stock account.
On the other hand, if companies issue stock below par value, they are issuing shares at discount.