Contributions to be paid in future periods should be recorded at present value.
Answer the following statement true (T) or false (F)
True
FASB requires multiyear pledges to be recorded at the present value of the future collections. As time passes, the present value of the pledge receivable will increase. At the end of each accounting period the difference between the previously recorded revenue and the new present value is recorded as additional contribution revenue, not interest.
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Longhorn Corporation reported a loss for both financial reporting purposes and tax reporting purposes of $231,000 in 2014 . For financial reporting purposes, Longhorn reported income before taxes for years 2011-2013 as listed below: 2011 ............................ $ 66,000 2012 ............................ 99,000 2013 ............................ 132,000 Assuming Longhorn's tax rate is 30
percent in all periods, and that the company uses the carryback provisions, what amount should appear in Longhorn's statements for financial reporting purposes as a net loss in 2014? a. $0 b. $69,300 c. $161,700 d. $234,300
Which of the following would be categorized as a sudden crisis if faced by an electronics firm?
A) mismanagement in the finance department B) conflict among union and non-union workers C) a fire destroying the main manufacturing facility D) drastic decline in consumer demand for products E) numerous blogs posted by unhappy customers
Common law owes its origination to:
A) America. B) England. C) France. D) Germany.
Which of the following businesses can be operated as a sole proprietorship?
A) Any service type business B) Any business C) Any business, so long as the number of employees is not excessively large D) Any business, so long as revenues are not excessively large E) Any business, so long as there are no employees other than the proprietor