Answer:
$300
Explanation:
We know that The State of Wyoming and City of Laramie bonds are not taxable, so we just caculate the interest income that are taxible into the gross income:
$200 from Ford Motor Co. + $100 from U.S. Treasury bonds
= $300
So $300 of the interest received will be included in gross income
Answer:
$300
Explanation:
According to the Internal Revenue Service (IRS), interest on a state or local government obligation may be tax-exempt even if the obligation is not a bond.
Therefore the interest received that will be included in gross income will exclude interest income from the following investments: $400 from State of Wyoming bonds and $50 from City of Laramie bonds.
$100 from U.S. Treasury bonds are taxable at federal level, hence will be included.
Therefore taxable amount = $100 from treasury bonds and $200 from Ford Motor Co.
b. As a conditional promise to give of $10,000.
c. As temporarily restricted support of the present value of $10,000.
d. As temporarily restricted support of $10,000.
Answer:
a. It should not be accounted for until it is received.
Explanation:
When a donor make a promise to make a donation of certain amount of money to a not-profit-organization, the amount is referred to as a pledge.
There are two important variations of a pledge depending on the conditions attached to it. These variations have to be considered when the pledge is being accounted for. The following are the two variations:
1. Unconditional pledge: This occurs when a pledge is committed to by a donor without any reservation. In this case, the funds will be recorded as revenue and an account receivable by the not-for-profit organisation that is receiving it.
2. Conditional pledge: This occurs when a pledge is committed to by a donor but with a condition to be met attached to it. That is, the donor promises the organisation certain amount of money contingent upon some future event. In this case, the not-for-profit organisation will not record anything. The organisation has to wait until the condition is met. When the condition is eventually met, the pledge will then be recorded as revenue and an account receivable.
The answer:
Since a pledge of $10,000 received by the League has a condition attached to it that the donation will not be received for three years, that is, it will not be received until after three years, the pledge is considered as a conditional pledge. Therefore, the League will not record anything until after it receives the pledge.
Therefore, the Cats and Dogs League should not be accounted for until it is received.
I wish you the best.
Answer:
Improve the benefits package to retain key employees and reduce turnover.
Explanation:
the dynamic capability perspective model reflects an organization's capability to leverage and make adequate use if it's resources in surviving and growing in a constantly changing environment. The bathtub metaphor describes the flow and movement of organization's resources such as it may be used to accomplish dynamic capability
Example(bathub metaphor)
Water flowing from different places into the tank represents capital investments
How fast the tank fills with water represents how fast the firm would be able to build capital base
The amount of water that has entered the tank represents the firm's current capital
How much water leaks from the tank represents a reduction in the firm's capital base
Option (B) is correct. When a person buys a bond, then that person is loaning the money to an organization.
Further Explanation:
Bond: Bond is a financial instrument that is used for raising the funds from the outside of the entity. The bond is a loan agreement between the issuer and the bondholder where the issuer borrows the funds from the bondholder. The issuer has to pay the principal and the interest on the bond to the bondholder. Bond has a maturity date on which the issuer has to pay the principal (borrowed funds). Generally, the issuer pays the interest on the bond during the tenure of the bond.
Therefore, when a person buys a bond, that person is loaning the money to an organization.
A.
Stock: This is an incorrect option.
Stock signifies the ownership in the company. It is not a loan.
B.
Bond: This is the correct option.
Bond is a loan provided by the bondholder to the issuer of the bond.
C.
Mutual fund: This is an incorrect option.
A mutual fund is an investment in various companies in a small fraction. It is a combination of debt and equity.
D.
Index fund: This is an incorrect option.
The index fund is a type of mutual fund so it cannot be considered as a loan.
Learn more:
1. Learn more about the ideal type of loan for students
2. Learn more about the mortgage payment
3. Learn more about the due amount of bond
Answer details:
Grade: Senior School
Subject: Business Studies
Chapter: Bonds & Debentures
Keywords: Bond, payable, loan, principal, interest, interest rate, bond, loaning, money, organization, stock, bond, mutual fund, index fund, borrower, issuer, bondholder.