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Shinobi Inc. had a manufacturing plant in Darfur, which was destroyed in the civil war. It is not certain who will compensate Shinobi for this destruction, but Shinobi has been assured by governmental officials that it will receive a definite amount for this plant. The amount of the compensation will be less than the fair value of the plant, but more than its book value. How should the contingency be reported in the financial statements of Shinobi Inc.?
Which of the following statements characterizes an operating lease?
The budget which provides data on the quantities of direct materials purchases necessary to meet production needs is the:
assess the short- and long-term impact the disaster had to the business and stakeholders. Provide specific examples to support your response.
During the current year, the Yankton Company purchased 200 shares of in the Sorros Company for $13,000 as a temporary investment. At the end of the year, the market value of the stock was $11,000. The Yankton Company's financial statements for the..
The Village Laundry Company purchased $4,500 worth of laundry supplies on June 2 and recorded the purchase as an asset. On June 30, an inventory of the laundry supplies indicated only $1,000 on hand. The adjusting entry that should be made by the ..
Are you familiar with any foreign income tax planning strategies that are utilized by some multinational corporations? Do you know of any of the intricacies of how foreign income taxes impact the consolidated financial statements of a US parent?
You have $42,180.53 in a brokerage account, and you plan to deposit a additional $5,000 at the end of every future year until your account totals $250,000. You expect to earn 12% annually on the account. How many years will it take to reach your g..
At present she is buying these products in amounts such that the marginal utilites from the last units purchased of the two products are 80 and 70 units, respectively. Is she buying the utility-maximizing combination of bread & milk? How should sh..
The education expense was for a 2 week nighttime course in business management. Smith believes the expenditure should qualify as an ordinary and necessary business expense. What net income should Smith report from his business? Smith is on the cas..
Which of the following is true when ranking proposals using zero-base budgeting?
At an activity level of 9,600 machine-hours in a month, Montgomery Corporation's total variable production engineering cost is $402,336 and its total fixed production engineering cost is $570,240.
What is the danger in allocating common fixed costs among product lines or other segments of an organization?
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