Interest payments on municipal bonds are exempt from federal taxes and state taxes as long as you live in the state in which the bonds were issued
Indicate whether this statement is true or false.
Answer: TRUE
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Answer the following statements true (T) or false (F)
The strongest evidence from capital market research concerns the information content of annual accounting earnings numbers.
A line on a scatter diagram that is intended to reflect the past relation between cost and unit volume is the:
A. Estimated line of cost behavior. B. Margin of safety line. C. Standard cost line. D. Break-even line. E. Contribution margin line.
Bar charts are graphs with horizontal or vertical bars representing values
Indicate whether the statement is true or false
Hampton Company is trying to decide whether to seek liquidation or reorganization. Hampton has provided the following balance sheet:Hampton CompanyBalance SheetFebruary 23, 2018Current Assets: Cash$1,000 Investments 28,000 Accounts receivable 46,500 Inventory 72,000 Prepaid expenses 4,200 $151,700 Plant & Equipment Land$65,000 Building 180,000 Equipment 75,300 320,300 Intangibles 78,000 Total assets $550,000 Current Liabilities: Accounts payable$127,000 Accrued expenses 99,000 Notes payable (secured by inventory) 68,000 $294,000 Long-term Liabilities Notes payable (secured by land and
building) 300,000 Stockholders' Equity Common stock$100,000 Retained earnings (deficit) (144,000) (44,000)Total Liabilities and Stockholders' Equity $550,000 ??Additional information is as follows:? The investments are currently worth $13,000. ? It is estimated that $32,000 of the accounts receivable are collectible. ? The inventory can be sold for $74,000. ? The prepaid expenses and the intangible assets have no net realizable value. ? The land and building are currently valued at $250,000. ? The equipment can be sold for $60,000. ? Administrative expenses (not yet recorded) are estimated to be $12,500. ? Accrued expenses include $17,000 of salaries payable ($11,000 to one employee and $3,000 each to two other employees). ? Accrued expenses include $7,000 of unpaid payroll taxes. Prepare a schedule to show the amount of total assets available to pay liabilities with priority and unsecured creditors. What will be an ideal response?