A pay day loan contract in Toronto that charges an annual interest rate of 500% is legal
Indicate whether the statement is true or false
TRUE
You might also like to view...
The ____________________ column in the combination journal is used to debit accounts that are used infrequently
Fill in the blank(s) with correct word
Spitzer Corporation manufactures supplies for dry cleaning services. On October 1, 2017, it purchased a new machine at a cost of $10 million. For financial reporting purposes, it depreciates the machine over its expected useful life of 20 years on a straight-line basis with no salvage value. Because of the timing of the purchase, depreciation is taken for one-fourth of a year in 2017.For tax purposes, the machine qualifies as "10-year property." For 10-year property, depreciation rates (all as a percentage of the initial investment) are 10% in the year the property was acquired, 18% the next year, then 14.4%, 11.52%, 9.22%, 7.37%, 6.55%, 6.55%, 6.56%, 6.55%, 3.28%. Note that depreciation of 10% is taken for tax purposes in the year of acquisition regardless of when during the year the
asset was acquired.Ignore any deferred tax items that arise from any other sources. Assume a 40% tax rate. Required: What is the amount of Spitzer's depreciation expense for financial reporting purposes in 2017? What is the amount of Spitzer's depreciation expense for tax purposes in 2017? What is the amount of Spitzer's depreciation expense for financial reporting purposes in 2018? What is the amount of Spitzer's depreciation expense for tax purposes in 2018? Determine whether Spitzer has a deferred tax asset or a deferred tax liability as of December 31, 2017. What is the balance of this item at December 31, 2017? What is the amount of Spitzer's deferred tax asset or deferred tax liability as of December 31, 2018? What is the amount of the deferred portion of Spitzer's 2018 income tax expense? What will be an ideal response?
What effect does "recognizing an accrued liability for utilities at the end of the accounting period" have on the accounting equation?
a. Assets decrease and stockholders' equity decreases. b. Liabilities increase and stockholders' equity increases. c. Assets decrease and liabilities decrease. d. Liabilities increase and stockholders' equity decreases.
Magnolia, Inc has budgeted sales for the first quarter of the next year to be 45,000 units
The inventory on hand at the beginning of quarter is 5,000 units. The desired ending inventory is 3,000 units. Calculate the budgeted production for the first quarter. A) 3,000 units B) 43,000 units C) 40,000 units D) 48,000 units