Gould Corporation distributes land (a capital asset) worth $90,000 to Gerry, a shareholder. The land has a $30,000 basis to Gould. What is the amount and character of the gain or loss recognized by Gould?
What will be an ideal response?
Gould recognizes a $60,000 ($90,000 - $30,000) capital gain, as though Gould had sold the property.
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Elfalan Corporation produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 43,000 units per month is as follows: Per UnitDirect materials$44.10?Direct labor$8.40?Variable manufacturing overhead$1.40?Fixed manufacturing overhead$17.90?Variable selling & administrative expense$2.40?Fixed selling & administrative expense$11.00?The normal selling price of the product is $92.10 per unit.An order has been received from an overseas customer for 2300 units to be delivered this month at a special discounted price. This order would not change the total amount of the company's fixed costs. The variable selling and administrative expense would be $1.50 less per unit on this order than on normal sales.Direct
labor is a variable cost in this company.Suppose there is ample idle capacity to produce the units required by the overseas customer and the special discounted price on the special order is $79.40 per unit. The monthly financial advantage (disadvantage) for the company as a result of accepting this special order should be: A. $56,580 B. $(13,340) C. $15,410 D. $(27,000)
List and briefly describe five of the functions of public relations mentioned in your book
What will be an ideal response?
Black & Mild FT are the only cigars on the market made with "a skillful blend of premium pipe tobaccos and a filter tip for extra smoothness." This feature creates a competitive advantage for the product.
Answer the following statement true (T) or false (F)
The same price will be charged no matter what pricing objective is used.
Answer the following statement true (T) or false (F)