A retained earnings appropriation is a restriction of retained earnings by
a. the board of directors.
b. stockholders.
c. senior management.
d. accountants.
a
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Which of the following best describes the high level of attention given to customers?
A) reliability B) responsiveness C) assurance D) empathy
What type of corporation can avoid double taxation?
A) C corporation. B) L corporation. C) Both of the above. D) None of the above.
The cash receipts and disbursements method of accounting is used by most individual taxpayers and most noncorporate businesses that do not have inventories.
Answer the following statement true (T) or false (F)
Azar, who owns 100% of Hat Corporation, transfers land having a $50,000 FMV and a $30,000 adjusted basis to Hat. In return, Azar receives additional shares of Hat common stock having a $40,000 FMV and Cap Corporation common stock having a $10,000 FMV. The Cap Corporation common stock, a capital asset, has a $2,500 basis on Hat's books. What is Azar's realized and recognized gain? Does Hat
Corporation recognize a gain on the stock transfer to Azar? What will be an ideal response?