Answer:
A. $75,000 dividend
Explanation:
This is not a capital gain as it do not come from the change in the value of the previously owned shares this are new shares.
The shares which N and M provide in favor to Ben are an stock dividend thus, the tax treatment should be of dividends as well.
Answer:
1. Prepaid insurance (Dr.) $6,300
Cash (Cr.) $6,300
2. Cash (Dr.) $15,300
Unearned Income (Cr.) $15,300
3. Purchases (Dr.) $1,750
Accounts payable (Cr.) $1,750
Cost of Goods Sold (Dr.) $1,620
Ending Inventory (Dr.) $130
Purchases (Cr.) $1,750
4. Prepaid office rent (Dr.) $6,300
Cash (Cr.) $6,300
Explanation:
The adjusting entry is a journal entry recorded at end of accounting period to adjust events or transactions to comply with the accrual concept.
The closing entries are journal entries required to close a transaction or event in the period. The purpose is to follow matching concept of accounting.
This is false. a fad is a product that is popular for a SHORT amount of time .
"<span>B) Resource use, production, and distribution of goods and services" is the correct answer. Economics is really a study of limited resources, and how people make choices. </span>
