At the beginning of this year, Edmond and Samuel were equal partners in a partnership that uses the calendar year as its tax year. On October 1, this year, Joan contributed $48,000 cash for a one-third interest in the partnership. The interests of both Edmond and Samuel drop to one-third. The partnership reports a $36,000 ordinary loss for the current tax year ending December 31. The loss
allocation to Samuel is (assume the elective proration method with a monthly convention)
A) $12,000.
B) $13,500.
C) $16,500.
D) $18,000.
C) $16,500.
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Indicate whether the statement is true or false
When an annuitant receives liquidation payments, part of the payment is a return of principal and is thus exempt from Federal Income tax. The tax-exempt portion of the payment is calculated using the:
A) exclusion ratio B) refund ratio C) vested ratio D) combined ratio
Match the following terms with the appropriate definitions.A. Equity methodB. Available-for-sale securitiesC. SubsidiaryD. Long-term investmentsE. Parent companyF. Return on total assetsG. Consolidated financial statementsH. Held-to-maturity securitiesI. Trading securitiesJ. Unrealized gain (loss)_______ (1) Investments in equity and debt securities that are not readily convertible to cash or are not intended to be converted to cash in the short term._______ (2) A corporation controlled by another company when the controlling company owns more than 50% of the investee's voting stock._______ (3) Change in fair value that is not yet realized through an actual sale._______ (4) Financial statements that show the financial statements of all entities under the parent's
control, including all subsidiaries._______ (5) A company that owns more than 50% controlling interest in a subsidiary._______ (6) Debt securities not classified as trading or held-to-maturity._______ (7) Debt securities that a company intends and is able to hold until maturity._______ (8) Debt securities that a company intends to actively manage and trade for profit._______ (9) A measure of financial performance, computed as net income divided by average total assets._______(10) An accounting method for long-term investments in equity when the investor has significant influence over the investee. What will be an ideal response?
Which of the following is an efficiency objective of the social media process?
A) to provide users with a sense of belongingness B) to operate within time and cost constraints C) to increase the market share of the social media provider D) to generate loyalty and brand authority