In contrast to commissions, bonus is a form of compensation that pays employees in sales positions based on the level of sales they make within a given time frame

Indicate whether the statement is true or false.


Answer: FALSE
Explanation: A bonus is a cash payment, in addition to regular wage or salary, which serves as a reward for achievement.

Business

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As units are completed, their costs are transferred from the Materials Inventory account to the Finished Goods Inventory account

Indicate whether the statement is true or false

Business

Generally, the prevailing party in a lawsuit is awarded the costs of the action, including witness fees and jury fees

Indicate whether the statement is true or false

Business

On September 1, George transfers his entire ownership rights in a $250,000 life insurance policy on his own life to his sister, Sally. The policy's interpolated terminal reserve is $30,000 as of September 1. On July 1, George had paid the policy's $6,000 annual premium. What are the gift tax consequences, if any?

What will be an ideal response?

Business

A two year-old asset has a depreciable life of 10 years. Its initial purchase cost was $450,000 and it is depreciated by 10 percent annually. What is the remaining depreciable value of the asset?

A.     $ 0.00 B.   $90,000 C. $200,000 D. $360,000

Business