A tax-exempt organization must pay income taxes on income generated from trade or business activities unrelated to the entity's tax-exempt purposes.
Answer the following statement true (T) or false (F)
True
Tax-exempt organizations are required to pay tax at the corporate rate on the income generated from any trade or business activities unrelated to the entity's tax-exempt purposes. The purpose of this requirement is to eliminate advantages that tax-exempt organizations have over profit-making organizations.
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TKE Corporation established a defined benefit pension plan in 2016. TKE has provided the following information for the year ended December 31, 2018: Service cost$90,000 Interest cost$120,000 Actual return on plan assets$70,000 Expected return on plan assets$80,000 Amortization of prior service costs$30,000 The pension expense for 2018 is:
A. $170,000. B. $160,000. C. $90,000. D. $120,000.
A system walkthrough occurs after the system is implemented
Indicate whether the statement is true or false
Beta Corp., a gaming software company, recently launched a new game. The target audience identified by the company was the age group of 12–18 years. The advertising and marketing strategies were designed exclusively to target this age group. However, sales data revealed individuals who belong to the age bracket 18–25 years were the ones who bought the game. The managers at Beta Corp. decided to redesign their marketing strategies to position the game as a product that people of all ages would enjoy. The company's decision to modify its product positioning demonstrates which of the following strategies?
A. downsizing B. emergent C. deliberate D. concurrency control E. unrealized
Assume a corporation receives subscriptions for 8,000 of its $4 par common stock for $50,000 . What is the appropriate journal entry?
a. Common Stock Subscriptions Receivable is debited $50,000, Common Stock Subscribed is credited $32,000 and Paid-in Capital in Excess of Par-Common Stock is credited $18,000. b. Common Stock Subscribed is debited $32,000, Paid-in Capital in Excess of Par-Common Stock is debited $18,000 and Common Stock Subscriptions Receivable is credited $50,000. c. Common Stock Subscriptions Receivable is debited $32,000, Accounts Receivable is debited $18,000 and Common Stock Subscribed is credited $50,000. d. Common Stock Subscriptions Receivable is debited $18,000, Accounts Receivable is debited $32,000 and Common Stock Subscribed is credited $50,000. e. Common Stock Subscriptions Receivable is debited $50,000, Common Stock Subscribed is credited $32,000 and Subscriptions Revenue is credited $18,000.