Rose has a $20,000 basis in the 60% of the Parent Corporation stock that she owns. Parent Corporation owns a 70% interest in Child Corporation. Parent and Child have current and accumulated E&P balances of $25,000 and $40,000, respectively. In return for $15,000, Rose sells 10% of the Parent Corporation stock to Child Corporation. What is the impact of the transaction on Rose?
A) Rose will recognize a $5,000 capital gain.
B) Rose will be treated as having received a $15,000 dividend distribution from Child Corporation.
C) Rose will be treated as having sold stock to Parent Corporation and recognize a $15,000 capital gain.
D) Rose will be treated as having received a $15,000 dividend from Parent Corporation.
B) Rose will be treated as having received a $15,000 dividend distribution from Child Corporation.
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What is telemarketing?
A) It is the process of promoting products through 30-minute-long infomercials. B) It is a form of marketing that uses the telephone to sell directly to businesses and consumers. C) It is the process of marketing products and services using direct-response television advertising. D) It is a marketing system where product information is provided through unmanned ordering machines. E) It is the process of selling products through affiliate networks and social media sites.
Brigid Boats is a manufacturer of customized sailboats. In 2013, the company produced 74 boats, in 2014 it built 81 boats, and in 2015 it built 79 boats. The company’s cost of labor was $575,000 in 2013, $600,000 in 2014, and $610,000 in 2015. What direction did Brigid’s productivity growth rate change from 2013 to 2014 and then from 2014 to 2015?
a. Increase and then continue to increase b. Decrease and then increase c. Increase and then decrease d. Decrease and then continue to decrease
The doctrine of part performance allows the court to order an oral contract for the sale of land or transfer of another interest in real property to be specifically performed if performance is necessary to avoid injustice.
Answer the following statement true (T) or false (F)
The tendency of employees in a functionally organized company to become fixated on their own concerns and work assignments to the exclusion of the needs of other departments is known as:
A) Layering. B) Myopia. C) Nepotism. D) Siloing.