A distribution from a corporation to a shareholder will only be treated as a dividend for tax purposes if the distribution is paid out of current or accumulated earnings and profits.

a. True

b. False

Gomex Company collected $600 of its $12,000 accounts receivable. How is the balance sheet affected? A. Cash increased $600, and Retained Earnings increased $600 because revenue was received. B.

he sale of American computers to the Spanish government shows up as a. A debit on the official reserves account b. A credit on the official reserves account c. A credit on the trade account d. A debit on the current account

The following selected amounts are available for Thomas Company. Retained earnings (beginning) $2,500Net loss 200Cash dividends declared 200Stock dividends declared 200What is its ending Retained Earnings balance? a. $2,200. b. $2,300. c. $1,900. d.

Which type of power production produces the least amount of greenhouse gases?

Vanessa Company is evaluating a project requiring a capital expenditure of $480,000. The project has an estimated life of 4 years and no salvage value. The estimated net income and cash flow from the project are as follows.

A bond will sell at a premium (above par value) ifA) the market value of the bond is greater than the discount rate of the bond. B) investor's current required rate of return is below the coupon rate of the bond.

Which financial transaction is associated with the home rental process? a. down payment b. closing fee c. deposit d. taxes, tags, and title fees

When a policyowner cash surrenders a Universal Life insurance policy in it's early years, this may be considered a red flag for

Critical analysis Q8 When actual output exceeds an economy's full-employment output, how will the self-correcting mechanism direct the economy to long-run equilibrium? Prices will increase causing production costs, which will reduce aggregate supply.

The marginal product of any input is thea. increase in total cost associated with a one-unit increase in production. b. change in total output associated with a $1.00 increase in total cost. c.