Question & Answer

Oak Corp., a calendar-year corporation, was formed three years ago by its sole shareholder, Glover, and has always operated as a C corporation.  However, at the beginning of this year, Glover made a qualifying S election for Oak Corp., effective January 1.  Oak Corp. did not have any C corporation earnings and profits on that date.  On June 1, Oak Corp. distributed $15,000 to Glover.  What are the amount and character of gain Glover must recognize on the distribution, and what is his basis in his Oak Corp. stock in each of the following alternate scenarios?

Compare a centralized database system to a decentralized, distributed blockchain system. (LO2)

Why is the term pressworking often used for sheet metal processes?

: Explain recent historical trends, including the major concepts of systems thinking and the contingency view.

The upper and lower control limits for a p chart are: LCL = 0 and UCL = 0.20. Determine the minimum possible sample size n that is compatible with this control chart.

Describe the exchange-rate path if there were a single shock that caused interest rates to fall. What determines the magnitude and speed of changes in the exchange rate in such a scenario?

1.      : Do the clinical trials in the United States. Even though it will certainly be more expensive and time-consuming, you’ll feel as if you’re living up to the part of the Hippocratic oath that instructs you to “prescribe regimens for the good of my patients according to my ability and my judgment and never do harm to anyone.”

Based on the definition of gross income in §61 and related regulations, what is the general presumption regarding the taxability of income realized?

Based on the definition of gross income in §61, related regulations, and judicial rulings, what are the three criteria for recognizing taxable income?

Question: No Doubt Company includes 1 coupon in each box of soap powder that it packs, and 10 coupons are redeemable for a premium (a kitchen utensil). In 2014, No Doubt Company purchased 8,800 premiums at 80 cents each and sold 110,000 boxes of soap powder at $3.30 per box; 44,000 coupons were presented for redemption in 2014. It is estimated that 60% of the coupons will eventually be presented for redemption. Instructions Prepare all the entries that would be made relative to sales of soap powder and to the premium plan in 2014.

Describe the concept of realization for tax purposes.

Compare and contrast realization of income with recognition of income.

1.    : Do you believe that it is ethical for organizational managers to try to get access to and scrutinize the Facebook pages of employees or job applicants? Discuss.

{Research} For the following independent cases, determine whether economic income is present and, if so, whether it must be included in gross income.  Identify a tax authority that supports your analysis. Hermione discovered a gold nugget (valued at $10,000) on her land.  b.       Jay embezzled $20,000 from his employer and has not yet been apprehended. c.       Keisha found $1,000 inside an old dresser.  She purchased the dresser at a discount furniture store at the end of last year and found the money after the beginning of the new year.  No one has claimed the money.

What issue precipitated the return of capital principle?  Explain.

Compare how the return of capital principle applies when (1) a taxpayer sells an asset and collects the sale proceeds all immediately and (2) a taxpayer sells an asset and collects the sale proceeds over several periods (installment sales).  If Congress wanted to maximize revenue from installment sales, how would they have applied the return of capital principle for installment sales?

What was the level of unemployment mid-way between quarter 2 and quarter 3 of 2020?

1. Assume that there is both internal and narrow external balance. Now assume that as a result of inflation being below target, the central bank cuts interest rates. Into which of the four quadrants in Figure 25.2 will the economy move? 2. Imagine that there is an inflationary gap, but a balance of payments equilibrium. Describe what will happen if the government raises interest rates in order to close the inflationary gap. Assume first that there is a fixed exchange rate and then that there is a floating exchange rate.

The cash method of accounting means that taxpayers don’t recognize income unless they receive cash or cash equivalents.  True or false?  Explain.

Explain the strategies managers can use to help organizations adapt to an uncertain or turbulent environment.

Contrast the constructive receipt doctrine with the claim of right doctrine.

What are some of the factors that managers should consider when implementing sustainability practices in their organisations?

Explain the purpose behind the §1231 look-back rule.

Assume that a bank expects to attract most of its funds through short-term CDs and would prefer to use most of its funds to provide long-term loans. How could it follow this strategy and still reduce interest rate risk? (LO3)

Shane has never filed a tax return despite earning excessive sums of money as a gambler.  When does the statute of limitations expire for the years in which Shane has not filed a tax return?