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ED Products has decided that buttermilk may sell better if it was marketed for baking and sold in pints. This would involve additional packaging at an incremental cost of $0.35 per pint. Each pint could be sold for $0.75 (note one quart = two pints)
Requirements:
1. If ED use the sales value at split off method, what combination of products should ED sell to maximize profits?
2. Prepare an analysis for ED management that compares processing the butter further with selling the product immediately at split off.
State law requires the depreciation be charged to principal. What part of the depreciation deduction will be allocated to Mark?
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Transfer title of their personal home to Barbara. They purchased the house in 1998 and their basis today is $400,000. The fair market value of the house is $500,000. The house is subject to a 25-year, $250,000 mortgage.
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While examining cash receipts information, the accounting department determined the following information: opening cash balance $178.24, cash on hand $1,134.46, and cash sales per register tape $1,156.35.
The amount of the proceeds from the issuance that should be accounted for as the initial carrying value of the bonds payable would be.
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Ten years ago, Oreo Corporation purchased all of the stock of MilkDud Corporation for $800,000. In the current year, MilkDud Corporation is liquidated, and all of its assets (basis of $1,900,000; fair market value of $2.5 million) are distributed ..
(1) Journalize the two adjusting entries required to bring the accounts affected by the taxes up to date as of July 31. (2) What is the amount of tax expense for July?
You are a Branch Manager and your office saw 2,500 patients in January 2012. From historical data, you know each month you add exactly 160 new patients and this trend will continue indefinitely.
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