(Solved):Q: During 2020, Fra…

Question
During 2020, Francesca Furto, the sole
shareholder of Furto's Fruit Drinks, a calendar
year S corporation, received a distribution of
$31,000. Ôn December 31, 2019, her stock
basis was $8,000. The corporation earned
$21,000 ordinary income during the year.
Furto's
Fruit Drinks has no accumulated E & P.
a) Describe the character of the distribution
attributable to Francesca for 2020.
b) What is the basis of Francesca's stock
investment in Furto's Fruit Drinks for 2021?

Image Transcription

During 2020, Francesca Furto, the sole shareholder of Furto's Fruit Drinks, a calendar year S corporation, received a distribution of $31,000. Ôn December 31, 2019, her stock basis was $8,000. The corporation earned $21,000 ordinary income during the year. Furto's Fruit Drinks has no accumulated E & P. a) Describe the character of the distribution attributable to Francesca for 2020. b) What is the basis of Francesca's stock investment in Furto's Fruit Drinks for 2021?

(Solved):Q: Horner Corporati…

Question
Horner Corporation reported net sales of $150,000, cost of goods sold of $96,000, operating
expenses of $35,000, other expenses of $10,000, net income of $9,000. Calculate the following
values. 1. Profit margin. 2. Gross profit rate.

Image Transcription

Horner Corporation reported net sales of $150,000, cost of goods sold of $96,000, operating expenses of $35,000, other expenses of $10,000, net income of $9,000. Calculate the following values. 1. Profit margin. 2. Gross profit rate.

(Solved):Q: Bruce Chapman wa…

Question
Bruce Chapman was admitted to the Adams & Bye LLP on May 31, 2020, by an investment of $40,000 cash for a 20% interest in partnership net assets. Prior to the admission of Chapman, the capital accounts of Adams and Bye, who shared net income and losses equally, had balances of $70,000 and $30,000, respectively.The preferable accounting method for the admission of Chapman includes credits of: Select one: a. $28,000 and $12,000, respectively, to the capital accounts of Adams and Bye b. $6,000 each to the capital accounts of Adams and Bye c. Some other amounts to the capital accounts of Adams and Bye d. $30,000 each to the capital accounts of Adams and Bye

(Solved):Q: Apple, Inc. Bala…

Question

Apple, Inc. Balance Sheet as of Sept. 28, 2019

     Cash and cash equivalents $48,844

     Short-term marketable securities 51,713

     Accounts receivable 22,926

     Inventories 4,106

     Vendor non-trade receivables 22,878

     Other current assets 12,352

          Total current assets $162,819

   

     Accounts payable $46,236

     Long-term debt and other liabilities 59,482

          Total current liabilities $105,718

 

Calculate the acid test ratio

(Solved):Q: Laird Company us…

Question
Laird Company uses 405 units of a part each year. The cost of placing one order is $5; the cost of carrying one unit in inventory for a year is $2. Laird currently orders 81 units at a time. A. The annual ordering cost of Laird's current policy is $__________________. B. The annual carrying cost of Laird's current policy is $__________________. C. The total cost of Laird's current policy is $__________________. D. What is the EOQ for Laird? E. What is the total inventory-related cost at the EOQ?

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