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In 2011, P Company sells land to its 80% owned subsidiary, S Company, at a gain of $50,000. What is the effect of this sale of land on consolidated net income assuming S Company still owns the land at the end of the year?
a) consolidated net income will be the same as if the sale had not occurred.
b) consolidated net income will be $50,000 less than it would had the sale not occurred.
c) consolidated net income will be $40,000 less than it would had the sale not occurred.
d) consolidated net income will be $50,000 greater than it would had the sale not occurred.
On February 5, 2010, Tropical Connection Company, a garden retailer, purchased $25,000 of seed, terms 2/10, n/30, from Midwest Seed Co. Even though the discount period had expired, Lydia DeLay subtracted the discount of $500 when she processed the..
An invoice for 50000 dollar dated feb 22 has payment terms 4/5, 3/20, n/30. A partial payment of 27000 was made on mar 10 a. How much was credeted to the account b. Determine the outstanding balance after this partial payment.
Reorder point under conditions of uncertainty given. Find out the low-cost reorder point under conditions of uncertainty given the following information:
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Write a memo to your partner, citing the relevant tax authority, to explain how much of the $85,000 loss Mike can deduct on his tax return.
How would you describe activity based costing? Also, can you explain why it might result in more accurate product costing information than the product cost derived under the traditional costing approach?
If the machine has no salvage value at the end of seven years, and assuming the company's discount rate is 10%, what is the purchase price of the machine if the net present value of the investment is $170,000?
Mason was shocked to learn that the current Code is the Internal Revenue Code of 1986. He thought that U.S tax change more frequently. What is wrong with Mason's perception?
Gross margin is typically 40% of sales. Determine the budgeted cost of merchandise purchases for July.
The lease terms are arranged so that a return of 12% is earned by the lessor, what is the annual lease payment required to yield the desired return???
What is the monthly interest rate if the lease payments are $24,000 per month for twenty-four months? What is the monthly interest rate if the lease payments are $24,000 per month for thirty-six months? What is the monthly interest rate if the lease ..
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