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Gift Tax, Estate Tax and the Unified Crefitw

Completely answer the following questions Identify the features common to the gift tax formula and the estate tax formula. Explain why Congress felt it necessary to enact a gift tax to complement the estate tax. Describe the unified credit and the purpose it serves in the gift and estate tax.

Income Statements for a Corporation

Complete in Excel (LO3) Jack and Jill are owners of UpAHill, an S corporation. They own 25 and 75 percent, respectively. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2 based on the information above? Complete UpAHill's Form 1120S, Schedule K, for year 1. Complete Jill's

Joe's Fly-by-Night Oil: Financial analysis

See the attached file for data and answer the following questions: 12. What was Joe's NOPAT in 2013? 13. What was Joe's Free Cash Flow (FCF) in 2013? (Note: For this question, assume Joe obtained no new plant and equipment or additional net working capital in 2013. Thus his Net Investment in Operating Capital (NIOC) for

Management Accounting in Business

1. What industries do you think will have higher financial slack? Why? 2. There are some companies out there that feel like the end is near so pay out a bunch of returns to investors in panic which is essence is financial slack. Do you think that the SEC can force them to pay that back? 3. If a company is well matured and in

Partnership Accounting Period and Method

Please help with the following problem: What options are available to an S Corporation for accounting period choices and accounting methods? Why would you select one versus other alternatives?

Senior Management Pay, Incompetent Management

1. We have heard a lot in the news how people feel upper management and executives are highly overpaid. Do you agree or do you feel that it is o.k. to pay high amounts of wages and bonuses to the top people? 2. Do you think that upper level management and executives are more likely to get fired in times of trouble for the compa

Sensitivity & Scenario Analysis

Waldo County, the well-known real estate developer, worked long hours, and he expected his staff to do the same. So George Chavez was not surprised to receive a call from the boss just as George was about to leave for a long summer's weekend. Mr. County's success had been built on a remarkable instinct for a good site. He wou

EVA, Computation of Income tax, ROI

1. The Modern Language Corporation earned $1.6 million on net assets of $20 million. The cost of capital is 11.5%. Calculate the net ROI and EVA. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Enter "EVA" answer in millions rounded to 1 decimal place.) ROI % EVA $ million

Profitability with Older Airplanes

New-model commercial airplanes are much more fuel-efficient than older models. How is it possible for airlines flying older models to make money when its competitors are flying newer planes? Explain briefly. I believe because the price of the older planes drop drastically when they are purchased in the second-hand market all

Over-Optimistic Projects

it is basically up to management to filter out the overoptimistic projects. Do you think that companies might be better served if they encouraged project sponsors to be more realistic? Is it even possible to rid the sponsor of their inherent favoritism to a project? Thoughts?

Threw Major Costs for Airlines; Older vs Newer Planes

New-model commercial airplanes are much more fuel-efficient than older models. How is it possible for airlines flying older models to make money when its competitors are flying newer planes. This could be explained by depreciation. Airlines flying older models are likely paying fewer taxes on depreciation. It's possible the old

Should Accounting Have to Approve Estimates?

Overoptimism by project sponsors. Inconsistent forecasts of industry and macroeconomic variables. Capital budgeting organized solely as a bottom-up process. Do you think that accounting should have to approve all estimates and hold management accountable for anything that doesn't seem right? Why or why not?

Relative Sales Value Method - Joint Costs

Radhika, Please help me with this problem as I am totally lost. Product M and S are joint products. The joint production cost of the products is $1500. That is, there are costs up to a certain point and we cannot divide the products before that point. M has a market value of $2000 at the split-off point. If M is furthe

Interest and Dividends

Between interest income and dividend income, which is best to receive from a tax perspective? Explain in detail your answer and your interpretation of the question.

Accounting: Depreciation Questions

Moped, Inc. purchased machinery at a cost of $22,000 on January 1, 2011. The expected useful life is 5 years and the asset is expected to have salvage value of $2,000. Moped depreciates its assets via the double-declining balance method. What is the accumulated depreciation for this asset on December 31, 2012? A. $4,400 B.

Discussing Adjusted Gross Income

As it relates to Adjusted Gross Income and "Above the Line" or "Below the Line" when changes were made to the tax laws that created the phase out of certain itemized deductions, could there have been another way to create the same tax impact without the confusion that normally is created in the mind of taxpayers?

Barter Income

50 word min- on the topic of "Barter Income" where one service is provided for another and there is no exchange of monetary consideration. For example, you the accountant prepares a tax return in return for your auto mechanic tuning up your car. Class, what is the simple reason for how this is treated for tax purposes and why?

Capital budgeting sunk costs dispose assets impact cash flow

Incremental cash flows when deciding whether to invest in a new manufacturing plant 1.Statement - Money already spent on engineering design of the new plant. Question - Past expenses are considered sunk cost and should not be a consideration for incremental cash flow, but what if we had to alter the design, would you count tha

Discussion of tax rate structures

150 word min Describe the various tax rate structures; how are they different and which do you propose for the various types of taxes?

FLSA exempt vs non-exempt

•Locate a 1-2 page job description from your current company, former company or on-line. •Read the job description and analyze it based on the Fair Labor Standards Act. •Determine if the job is exempt or non-exempt and if exempt, indicate which exemption qualifies. •Post the job description and write a 250-300 word po

Real Vs. Financial Assets

1. Which of the following are real assets, and which are financial? Assets a. A share of stock. b. A personal IOU. c. A trademark. d. A factory. e. Undeveloped land. f. The balance in the firm's checking account. g. An experienced and hardworking sales force. h. A corporate bond. 2. At an interest rate of 12

Bond Yield and Duration

Assume coupons are paid annually. Here are the prices of three bonds with 10-year maturities: Bond Coupon (%) Price (%) 2 81.62 4 98.39 8 133.42 ________________________________________ a. What is the yield to maturity fo