Need answer the accounting question please answer do fast Slim Fast Corporation, a calendar year C Corporation, isformed and begins business on April 1, 2015. Slim Fast incursthe following transactions in connection with the formation ofthe business: Organizational expenditures of $54,000How much deduction will Slim Fast Corporation be able totake as organizational expenditures for 2015?

Step 1: Define Organizational ExpendituresThe amount a new corporation can deduct for organizational…

Answered: Slim Fast Corporation, a calendar year…

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter17: Corporations: Introduction And Operating Rules

Section: Chapter Questions

Problem 45P

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Check my answer. Cherry Corporation, a calendar year C corporation, is formed and begins business on April 1, 2020. In connection with its formation, Cherry incurs organizational expenditures of $54,000. Determine Cherry Corporation’s deduction for organizational expenditures for 2020 Section 248 allows Cherry corporation to take an immediate deduction of $5,000 for organizational expenditures and amortized the remaining balance over 180 months beginning with the month in which the business begins. Since Cherry Corp’s organization expenditures exceed $50,000 section 248 also requires an immediate dollar for dollar reduction for the amount over $50,000. 54,000-50,000=4,000 immediate phase out reduction, 5,000-4,000=1,000, remaining available immediate deduction. 54,000-1000=53,000/180month=294.44 There are 9 months of operation in 2020 =294.44*9=2649.96+1000=3649.96 total deduction or $3650
Cherry Corporation, a calendar year C corporation, is formed and begins business on 8/1/2023. In connection with its formation, Cherry incurs organizational expenditures of $52,100. Round the per month amount to two decimal places. Round your final answer to the nearest dollar. Determine Cherry Corporation's deduction for organizational expenditures for the current year.
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Cherry Corporation, a calendar year C corporation, is formed and begins business on April 1 of the current year. In connection with its formation, Cherry incurs organizational expenditures of $54,000. Determine Cherry Corporation’s deduction for organizational expenditures for the current year.
Cherry Corporation, a calendar year C corporation, is formed and begins business on 6/1/2019. In connection with its formation, Cherry incurs organizational expenditures of $54,200. Round the per month amount to two decimal places. Round your final answer to the nearest dollar. Determine Cherry Corporation's deduction for organizational expenditures for 2019. $fill in the blank 1 Do not give answer in image and hand writing
Freitas Corporation was organized early in 2018. The following expenditures were made during the first fewmonths of the year:Attorneys’ fees in connection with the organization of the corporation $ 12,000State filing fees and other incorporation costs 3,000Purchase of a patent 20,000Legal and other fees for transfer of the patent 2,000Purchase of equipment 30,000Pre-opening salaries and employee training 40,000Total $107,000Required:Prepare a summary journal entry to record the $107,000 in cash expenditures
In its first year of operations corporation Lauzer has the following results for the year: Gross income from operations $700,000 operating deductible expenses (200,000) short term capital gains 5,000 short term capital losses (14,000) long term capital gains 8,000 long term capital losses 3,000 What is the corporation's taxable income for the year?
Urgency Medical Centre Inc. (UMC), a publicly traded entity, began operations in 2015and reports according to IFRS. Relevant information related to UMC’s 2020 financial results are as follows: Statement of comprehensive incomeFor the year ended December 31, 2020Revenue $50,000,000Expenses 38,000,000Income from continuing operations before taxes 12,000,000Income tax expense (30%) (3,600,000)Net income $ 8,400,000Additional information: • At January 1, 2020, UMC had 2,000,000 common shares outstanding and 10,000 $2 cumulative preference shares outstanding.• On January 2, 2020, UMC issued 6,000 cumulative preference shares at $100 per share, entitling the shareholder to dividends of $3 per share per year. At the option of the holder, each preference share can be converted into two common shares at any time after July 1, 2021.• On July 1, 2020, UMC declared a two-for-one stock split on common shares.• On August 1, 2020, UMC issued 10,000 common shares for $15 each.• As part of the purchase…
Hawkeye Corporation starts business on April 2, 2023. The corporation reports startup expenditures of $64,000 all incurred in the prior year. Determine the total amount that Hawkeye Corporation can elect to deduct in 2023. O a. $0 O b. $3,200 O c. $4,267 O d. $7,950
Cherry Corporation, a calendar-year C corporation, is formed and begins business on 8/1/2019. In connection with its formation, Cherry incurs organizational expenditures of $50,600. Round the per month amount to two decimal places. Round your final answer to the nearest dollar. Determine Cherry Corporation's deduction for organizational expenditures for 2019.
Vishu
XYZ is a calendar-year corporation that began business on January 1, 2023. For the year, it reported the following information in its current-year audited income statement. Notes with important tax information are provided below. Use Exhibit 16-6. XYZ corporation Income statement For current year Book Income Revenue from sales $ 40,000,000 Cost of Goods Sold (27,000,000) Gross profit $ 13,000,000 Other income: Income from investment in corporate stock 300,0001Footnote 1 Interest income 20,0002Footnote 2 Capital gains (losses) (4,000) Gain or loss from disposition of fixed assets 3,0003Footnote 3 Miscellaneous income 50,000 Gross Income $ 13,369,000 Expenses: Compensation (7,500,000)4Footnote 4 Stock option compensation (200,000)5Footnote 5 Advertising (1,350,000) Repairs and Maintenance (75,000) Rent expense (22,000) Bad Debt expense (41,000)6Footnote 6 Depreciation (1,400,000)7Footnote 7 Warranty expenses (70,000)8(70,000) to the…

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