On June 30, 2014, Sonata Company's operating facilities in Nebraska were destroyed by a flood. The loss of $700,000 was not covered by insurance. Sonata's tax rate for 2014 is 40 percent. In Sonata's income statement for the year ended September 30, 2014, this event should be reported as an extraordinary loss of
a. $0.
b. $280,000.
c. $420,000.
d. $700,000.
C
Business
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Activities such as competitor analysis and market research are valuable investments of time that do not generate revenue. Which of the following components of a compensation plan is best suitable for encouraging such activities?
A) salary B) commission C) bonus D) incentive payment
Business
Liabilities are established with debits and eliminated with credits
Indicate whether the statement is true or false
Business
The main objective of a not-for-profit business is not to make a profit
Indicate whether the statement is true or false
Business
It is ______ to get a new customer, than to retain an existing customer
a. more costly. b. much less costly. c. more cost effective. d. none of the above.
Business