A corporation is classified as a personal holding company. Its taxable income is $300,000 and its regular federal income tax liability is $63,000. The company claims a $40,000 dividends-received deduction and pays $30,000 dividends to its shareholders. The personal holding company tax is
A. $61,400.
B. $49,400.
C. $62,000.
D. $41,400.
Answer: B
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Network (multilevel) marketing is different from traditional sales in that it:
A) creates a pyramid with the CEO at the top and the salespeople at the bottom B) eschews growth of the salesforce for a given product C) relies on an interconnected network of independent salespeople to sell the product directly D) focuses on paid advertising instead of word-of-mouth publicity E) allies itself with competing products and service providers
Peter is a German engineer working in Italy. He often complains that Italians do not have the efficiency or punctuality of Germans. What characteristic is Peter displaying?
A. uncertainty avoidance B. hypocrisy C. centralism D. ethnocentrism E. individualism
Holding costs can be expressed as ______.
a. the total carrying cost per unit per time period b. the sum of setup costs and ordering costs c. a hidden cost d. proportional to manufacturing costs
Spark Company's static budget is based on a planned activity level of 51,000 units. At the same time the static budget was prepared, the management accountant prepared two additional budgets, one based on 46,000 units and one based on 56,000. The company actually produced and sold 55,000 units. In evaluating its performance, management should compare the company's actual revenues and costs to which of the following budgets?
A. A budget based on 51,000 units B. A budget based on 46,000 units C. A budget based on 55,000 units D. A budget based on 56,000 units