Should we include income derived from illegal sources in the computation of gross income? Why or why not?

Q: Debit Credit Cash $ 1,260   Accounts Receivable 2,300   Prepaid Insurance 2,600   Notes Receivable (...

A: Sky Blue Corporation Income Statement for the period ended December 31    Amount  Sales Revenu...

Q: Not all income earned by a CFC is subjected to current taxation to US persons. Income that is subjec...

A: Passive Income: Passive income is profit from an investment property, restricted association, or oth...

Q: he Harriott manufacturing company uses job order costing system. The company uses machine hours to a...

A: The cost of goods sold refers to the direct costs of producing goods sold by a company (COGS). This ...

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A: As we know that perpetual inventory system is a sustem in which inventory is country continuously an...

Q: Indicate the effect each of the three transactions has on the financial statement categories listed ...

A: Double entry system: In accounting every entry has dual effect, that means, if some entry is passed ...

Q: The cashier of a company bought one calculator for office used. The invoice was given to the account...

A: Accounting principle are the rules for recording/presenting financial transaction which needs to be ...

Q: Operating segments Total revenue Profit Identifiable assets 1,000,000 200,000 4,000,000 500,000 120,...

A: Operating segment is the component of entity, which has its own revenue, expenses, assets, liabiliti...

Q: Question #10: Perpetual Inventory Using FIFO The following units of a particular item were availab...

A: First in first out: It refers to an inventory valuation method that is based on the assumption that ...

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A: Tax refers to the amount charged by the government on individuals, partnership firms, HUF’s or any c...

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A: Initial measement of lease contract: Year Annual lease payments Present value factor @ 8% Present...

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A: Actual hours worked refers to all hours worked by the employee and excludes any paid or unpaid leave...

Q: Beginning inventory, purchases, and sales data for portable game players are as follows: Apr. 1   I...

A: As per the guidelines, only one question is allowed to be answered. Please resubmit the question sep...

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A: As per the maturity matching concept long-term funds should be invested in long-term assets and shor...

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A: Adjusting entry includes the adjustments with regard to the accruals and prepaids. These are recorde...

Q: a. Define the audit evidence. b.Provide an example of proof derived from accounting records and othe...

A: Auditing is a logical process. Where an auditor is called upon to review the statements of account, ...

Q: Prepare a monthly income statement that highlights the proposed sock line's segment margin. (Enter n...

A: Income statement refers to the financial document which is prepared for a particular period of time,...

Q: Locust Software sells computer training packages to its business customers at a price of $101. The c...

A: “Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts f...

Q: .Which of the following is NOT one of the basic shareholder's rights? Which of the following is NOT...

A: Shareholder means a person who holds the shares. When we divide company capital into small parts are...

Q: Walang Kayo Company provided the following data: 12/31/2019 P 600,000 4,000,000 2,400,000 1,200,000 ...

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Q: Compute the value of the lease liability to the lessee.

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A: The question is based on the concept of Lease Accounting.

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A: Traditional Sales Comparison Approach: It is referred to as the sales comparison methodology in real...

Q: tealesxille Sanctuary is a family-owned and operated wildlife park located in Melbourne. Healesville...

A: Answer:- The answers to each individual situation is as follows; i) Here the omission of manual invo...

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Q: be credit sales at terms n/30. National estimates that a proposed relaxatio om 30 days to 45 days. B...

A: The answer is stated below:

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A: Cash conversion cycle = Inventory conversion period + Receivables conversion period - Payment cycle ...

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A: Given: Commencement date   January 1,   Annual lease payment due at the beginning of   each yea...

Q: HOW IS THE ACCOUNTANCY PROFESSION BEING REGULATED? EXPLAIN

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A: Herbert and Ireneo are partners sharing profits and losses in the ratio of 60 % and 40%. Their capit...

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A: Depreciation are required to be charged by the business entities so as to shown the assets in the ac...

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A: The purchases on accrual basis can be calculated as change in account payable and the cash paid for ...

Q: West Coast Tours runs boat tours along the west coast of British Columbia. On March 5, 2020, it purc...

A: Lets understand the basics. In straight line basis, depreciation is calculated by the depreciate ass...

Q: Case scenario: You are a newly hired accountant for Sushi Beeber, Inc., a retail company specializin...

A:     (A) (B) (A x B) (C) (A x C)       Date Purchase/ Sale Units Purchase unit cost Purchase price ...

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A: Solution Lease is an agreement between a property owner  and another party who want to use their ass...

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A: Solution Royalty income is income received from allowing someone to use your property. Royalties are...

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Q: Which section and subsection of the Internal Revenue Code defines the tax rates to be imposed on qua...

A: Section and subsection of the Internal Revenue Code defines the tax rates to be imposed on qualified...

Q: Mar. 1 Invested $62,500 cash in the business in exchange for common stock. Purchased Moises Moreno's...

A: Journal entries are used to stay track of financial transactions. To create a journal entry, you ent...

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A: Comprehensive income: The sum of regular and other comprehensive income is referred to as comprehens...

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A: Introduction:- An asset is any resource that a corporation or economic organisation possesses or has...

Q: Provide examples of how a company can conceal financial fraud from an auditing firm through the use ...

A: The answer is stated below:

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Q: roblem #2 Admission by Purchase of Interest and Investment of Assets The capital accounts of Loida C...

A: The partnership comes into existence when two or more persons agree to do the business and further s...

Q: 4. (Present value of an ordinary annuity) What is the present value of the following annuities? a. $...

A: a. Present value = Amount{[1 - (1 + Rate)^-Time] / Rate} Present value = $2,500{[1 - (1 + 0.07)^-10]...

Q: Requirements: Record the transactions stated above in the general journal. Post the transactions t...

A: Journal is a book that includes all business transactions, In the journal, all business transactions...

Q: National Co. has a total annual cash requirement of P9,030,000 which are to be paid uniformly. Natio...

A: The question is related to Baumol Cash model. The optimum cosh conversion size is calculated with th...

Q: Use the following to answer questions 12 – 15 At December 31, KC Co reported accounts receivable of ...

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for you...

Q: Based on the bank reconciliation THAT IS ATTACHED, journalize the entry or entries to be made by Kor...

A:                                     Bank reco is a statement showing difference between bank balance...

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.