Answer:
$11,000
Explanation:
Based on the information given What will be the MAXIMUM AMOUNT OF THE CHARITABLE CONTRIBUTION ALLOWABLE as an itemized deduction on Deet's income tax return will be the amount of $11,000 which represent the amount the art value that Deet donated to the local art museum which was valued at $11,000.
Therefore the maximum amount of the charitable contribution allowable as an itemized deduction on Deet's income tax return is $11,000
Answer:
The correct option is A,Debit Land and Building, $130,000; Credit Common Stock, $5,000; Credit Paid-in Capital in Excess of Par Value, Common Stock, $125,000.
Explanation:
The sum of the two market values of both land and building is $130,000($100,000+$30,000),which would be debited to land and building account to show that the asset has increased due to new acquisition.
In the common stock account the par value of the shares which is $5,000($1*5000) would be credited to it.
The difference between the market value of assets acquired and the common stock amount which is $125,000($130,000-$5,000) would be credited to paid in capital in excess of par account.
<u><em>Explanation</em></u>:
<u>(a) FIFO</u>
In using this method we calculate cost based on the price of the earliest (first) purchased inventory date.
(b) LIFO
Here we calculate cost by using the price of the most recent (last) purchased inventory date. eg for inventory cost calulations for March 9 we use the price value of March 29
(c) weighted average
This meeting uses the average cost of the entire inventory in the month. Calculated by dividing total cost by today inventory.
(d) specific identification.
Here cost are just assigned to each individual item or batch of items in the period.
