The accumulated earnings tax, which is imposed on corporations for the accumulation of earnings in excess of reasonable business needs, does not apply to:
a. Closely-held corporations.
b. Widely-held corporations.
c. Corporations subject to the personal holding company tax.
d. Both b. and c.
e. All of the above.
c
You might also like to view...
Turner Electronics is a ten-year-old company. In the past decade, the company hasn't created any innovative products that have helped set it apart from the rest of its competitors
However, when any of its products need to be repaired or fine-tuned, it offers its customers top-notch product checks. As a result, the company has managed to retain its wide customer base. Which of the following strategies is Turner Electronics using in this scenario? a. Product development b. Diversification c. Market penetration d. Service differentiation
What is the significance of the timing in which cash is paid or received as it relates to the adjusting process?
Owen is a holder of a promissory note obtained from Purchase Money, Inc. Regarding the defenses against payment of the note to which Purchase Money is subject, Owen, as an ordinary holder, is subject to
A. more defenses. B. no defenses. C. some defenses, but not as many. D. the same defenses.
The credit purchase of a new oven for $4,700 was posted to Kitchen Equipment as a $4,700 debit and to Accounts Payable as a $4,700 debit. What effect would this error have on the trial balance?
A. The total of the Credit column of the trial balance will exceed the total of the Debit column by $4,700. B. The total of the Credit column of the trial balance will exceed the total of the Debit column by $9,400. C. The total of the Debit column of the trial balance will exceed the total of the Credit column by $9,400. D. The total of the Debit column of the trial balance will equal the total of the Credit column. E. The total of the Debit column of the trial balance will exceed the total of the Credit column by $4,700.