Carlton Bank has an increase in reserves of $1,000,000. If the reserve ratio is 10%, by what amount may Carlton increase its demand deposits? a. $ 100,000 b. $ 900,000 c. $ 1,000,000 d. $ 10,000,000
Carl purchased a machine for use in his trade or business two years ago for $30,000. During the current year, Carl donates the machine to the local community college. At the time of the contribution, the machine’s adjusted basis is…
Buster Company. Sells radios for $30 each. Fixed expenses total $15,000. Variable expenses are $20 per unit. What total dollar amount must Buster company sell to break even? a $20,000 b. $37,500 c. $45,000 d $60,000
Assume that a couple that filed a joint return had 2013 AMTI of $300,000. What was the amount of their actual 2013 exemption for the AMT? a.$80,800 b.$44,275 c.$36,525 d.$0
If Katherine is insolvent with assets of $30,000 and liabilities of $40,000 and one of Katherine’s creditors then cancels a debt of $15,000, what amount must Katherine recognize as income? a.$0 b.$5,000 c.$10,000 d.$15,000
Keith has a 2012 tax liability of $2,250 before taking into account his American Opportunity credit. He paid $2,700 in qualifying expenses, was a full-time student, was not claimed as a dependent on his parents’ return, and his American Opportunity…
XYZ Company purchased a new machine on January 1, 2002 for $84,000. The machine had a 5-year life and a $1,000 salvage value assigned to it. Calculate the amount of accumulated depreciation on the machine shown in the December 31,…
Question: Assume that at the beginning of the current year, a company has a net gain-AOCI of $60,700,000. At the same time, assume the PBO and the plan assets are $303,000,000 and $451,300,000, respectively. The average remaining servce period for…
1. Workman Company purchases a machine on January 2, 2012 for $800,000. The machine has an estimated useful life of 5 years and a salvage value of $100,000. Depreication was computed by the 150% declining-balance method. What is the amount…
Equipment with a cost of $192,000 has an estimated salvage value of $18,000 and an estimated life of 4 years or 12,000 hours. It is to be depreciated by the straight-line method. What is the amount of depreciation for the…
