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Carson Inc., a retail establishment, expects sales of $500,000 of a particular item in March. Its gross profit percentage is 60 percent. The ending inventory in February of this item cost $40,000 and the company wants an ending inventory of $38,000 (cost). How much needs to be purchased?
a) $38,000
b) $198,000
c) $498,000
d) $502,000
What is the definition of externality? Distinction between positive externalities (positive spillover costs) and negative externalities (negative spillover costs)? Why do externalities exist?
Write down a memo to Stacey describing the tax consequences of incorporation. As part of your memo analyze the possibility of having the corporation issue common and preferred stock and debt for shareholders’ property and money.
Information on Fleming Company's direct material costs follows: What was the company's direct material price variance?
What is the amount of the loss on impairment that Beehive should recognize at June 30, 2006?
What are your thoughts on the three proposals outlined above, and please feel free to suggest anything that you feel should also be considered in reducing the deficit.
A company's retained earnings on December 31, 2011 was $2,190,000 and its shareholders equity was $8,760,000.
Daniel figures that he has loss of $60,000 on each stock. If Daniel's marginal tax rate is 35 percent and he has $120,000 of other capital gains (taxed at 15 percent), what is tax savings from the special tax treatment?
Handy-Man Services is a repair-service company specializing in small household jobs. Each client pays a fixed monthly service fee based on the number of rooms in the house. Records are kept on the time and material costs used for each repair. The ..
Given the following data, manke, in good form, an income statement for the Dental Drilling Company as of December 31, 2003.
What is the amount of dividends received by the common stockholders in 2010?
Prepare the entry for May 1, 2007. The bonds are sold on August 1, 2008 for $425,000 plus accrued interest. Prepare all entries required to properly record the sale. (Show all calculations).
If the standards are set in a process that often results in compromise between different parties, do the qualities of accounting information provide much value? How?
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