Which one of the following would require interperiod tax allocation?
A) percentage depletion in excess of cost depletion
B) premiums paid on a life insurance policy of which the company is the beneficiary
C) interest on state municipal bonds
D) investment income recognized by the equity method for accounting purposes but as income when received for tax purposes
D
You might also like to view...
A customer payment of $247 was correctly posted in the general ledger but was recorded as $274 in the customer's account receivable. Describe a specific internal control procedure that would detect this error
The classic article “skills of an effective administrator” by Katz was published in the ______.
A. Journal of Leadership Education B. Harvard Business Review C. Journal of Education and Behavior D. Forbes Business Journal
Which of the following is true of net sales revenue?
A) It is calculated by subtracting cost of goods sold from sales. B) It is calculated by adding sales discounts to sales. C) It is calculated by adding sales discounts and sales returns and allowances to sales. D) It is calculated by deducting sales discounts and sales returns and allowances from sales.
The price of oil is $45 per barrel. The effective lease rate and risk free rate are 3.0% and 4.0%, respectively. The constant cost of extraction is $25 per barrel and the volatility of prices is 15.0%
If an untapped well costs $240 to open and can produce indefinitely, what is the value of the unopened well? A) $424 B) $554 C) $635 D) $785