During 2018 and 2019, Danny pays property taxes of $3,500 each year on a piece of land. During 2018, the land is vacant and unproductive. In 2019, Danny uses the land as a parking lot and generates $16,000 in income. Which of the following is true regarding the property taxes?
A. Capitalize $3,500 each year.
B. Capitalize $3,500 in 2018 and deduct $3,500 in 2019.
C. Deduct $3,500 each year.
D. Either B or C is acceptable.
Answer: D
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A roofing company collects fees when jobs are complete. The work for one customer, whose job was bid at $3,000, has been completed as of December 31, but the customer has not yet been billed. Assuming adjustments are only made at year-end, what is the adjusting entry the company would need to make on December 31, the calendar year-end?
A. Debit Accounts Receivable, $3,000; credit Roofing Fees Revenue, $3,000. B. Debit Cash, $3,000; credit Roofing Fees Revenue, $3,000. C. Debit Roofing Fees Revenue, $3,000; credit Accounts Receivable, $3,000. D. Debit Cash, $3,000; credit Accounts Receivable, $3,000. E. No adjustment is required.
While all actions that are ethical are legal, some actions that are legal may not be ethical
Indicate whether the statement is true or false
Which of the following is true of an unfair labor practice strike?
A) An unfair labor practice strike is a nonviolent work stoppage for the purpose of obtaining better terms and conditions of employment under a collective bargaining agreement. B) Employees engaged in an unfair labor practice strike cannot return to their jobs at the end of the strike. C) If the employer fires unfair labor practice strikers, they will be able to sue for reinstatement. D) Unfair labor practice strikers cannot sue their employer for back pay during the time they were prohibited from working.
Generally, neither a "time is of the essence" clause nor a "force majeure" clause will be recognized by the courts because these types of clauses are seen as a violation of public policy
a. True b. False Indicate whether the statement is true or false