JLK Partnership incurred $6,000 of organizational costs and $50,000 of startup costs in 2016 . JKL may deduct $5,000 each of organizational and startup costs, and the remaining costs ($1,000 of organizational costs and $45,000 of startup costs) may be amortized over 60 months
a. True
b. False
Indicate whether the statement is true or false
False
RATIONALE: For organizational and startup costs, the first $5,000 may be deducted, provided total expenses in that category do not exceed $50,000 . If costs in the category exceed $50,000, the deduction is phased out, dollar-for-dollar. Any amount that may not be deducted is amortized over 180 months.
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The number of shares of outstanding stock is equal to the number of shares authorized minus the number of shares issued
a. True b. False Indicate whether the statement is true or false
Which of the following is NOT a characteristic of a good interview?
a. The interview is of sufficient length and depth to get relevant facts b. The interview focuses on pertinent information c. The interview is conducted as far away from the event as possible d. The interviewer includes extraneous facts
Using the labor time standard of 0.5 labor hour per unit and a labor cost standard of $10 per labor hour for a 10 pound bag of chocolate and the following actual cost and usage data, compute the direct labor variance. Direct labor hours used 4,950 hours Total cost of direct labor $53,460 Number of good units produced 9,000 units
a. $3,960 (F) b. $8,460 (U) c. $3,960 (U) d. $8,460 (F)
Paige independently owns and operates HiZ Inc., a company with 22 employees. She manages aggressively and expects rapid sales and profit growth. Paige's company is considered a(n) ________ venture.
A. dependent B. franchise C. intrapreneurial D. entrepreneurial E. small business