Although federal banking legislation in the 1860s attempted to eliminate state-chartered banks by imposing a prohibitive tax on banknotes, these banks have been able to stay in business by
A) issuing credit cards.
B) ignoring the regulations.
C) issuing deposits.
D) branching into other states.
C
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Peter visits a local supermarket to buy groceries. While shopping, a sales executive approaches him and enquires if he would be willing to try out a new brand of cookies. Which of the following terms best reflects the supermarket's strategy?
A. Sample B. Premium C. Rebate D. Special event E. Point-of-purchase display
Division A has variable manufacturing costs of $25 per unit and fixed costs of $5 per unit. Division A is operating at capacity. What is the opportunity cost of an internal transfer when the market price is $35?
A. $30. B. $10. C. $25. D. $5.
Below are the 2017 and 2018 year-end balance sheets for Tran Enterprises: Assets:2018 2017 Cash$ 200,000 $ 170,000 Accounts receivable864,000 700,000 Inventories2,000,000 1,400,000 Total current assets$3,064,000 $2,270,000 Net fixed assets6,000,000 5,600,000 Total assets$9,064,000 $7,870,000 Liabilities and equity: Accounts payable$1,400,000 $1,090,000 Notes payable to bank1,600,000 1,800,000 Total current liabilities$3,000,000 $2,890,000 Long-term debt2,400,000 2,400,000 Common stock3,000,000 2,000,000 Retained earnings664,000 580,000 Total common equity$3,664,000 $2,580,000 Total liabilities and equity$9,064,000 $7,870,000 The firm has never paid a dividend on its common stock, and it issued $2,400,000 of 10-year, non-callable, long-term debt in 2017. As of the end of 2018, none of
the principal on this debt had been repaid. Assume that the company's sales in 2017 and 2018 were the same. Which of the following statements must be CORRECT? A. The firm increased its short-term bank debt in 2018. B. The firm issued long-term debt in 2018. C. The firm issued new common stock in 2018. D. The firm repurchased some common stock in 2018. E. The firm had negative net income in 2018.
For federal income tax purposes, one-member limited liability companies are automatically taxed as sole proprietorships.
Answer the following statement true (T) or false (F)