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A trust is required to distribute all of its income currently. Two years ago, it had a $10,000 capital loss. Last year, it had a $3,000 capital gain. This year the trust is terminated. Albert has a 40% interest in the trust, and Barbara has a 60% interest. Barbara receives a capital loss pass-through of:
a. $0
b. $2,400
c. $4,200
d. $7,000
An introduction to internal controls, explaining in your own words the two primary goals of internal control.
Waheed Company uses normal costing. It allocates manufacturing overhead costs using a budgeted rate per machine-hour.
If the standard deviation of demand is six per week, demand is 50 per week, and the desired service level is 95%, approximately what is the statistical safety stock?
TD Industries has a piece of equipment that has a cost of $400,000. The equipment has accumulated depreciation of $305,000.
Describe in detail an ethical dilemma in business that you or a coworker experienced and how it was resolved.
What are the differences between regular and irregular items on income statement? What are the requirements for items to qualify as irregular?
Distinguish between a defined benefit plan and a defined contribution plan. Why does a defined benefit plan present far more complex accounting issues than a defined contribution plan?
A company has unlimited funds to invest at its discount rate. The company should invest in all projects having:
Smith, Inc. anticipates sales of 50,000 units, 48,000 units and 51,000 units in July, August and Septemeber, respectively. Company policy is to maintain an ending finished-goods inventory to 40% of the following months sales.
What is a constructive dividend? Under what circumstances is the IRS likely to argue that a constructive dividend has been paid?
What 3 items of important information does the income statement reveal about the financial performance of the company over the last three years?
Greenspan Company management predicts $500,000 of variable costs, $800,000 of fixed costs, and a pretax income of $100,000 in the next period. Management also predicts that the contribution margin per unit will be $60.
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