Gwinnett Corporation's temporary investments cost ($ 100,000) and have a market value of ($ 120,000) at the

Question:

Gwinnett Corporation's temporary investments cost $\$ 100,000$ and have a market value of $\$ 120,000$ at the end of the accounting period. Assuming a tax rate of

$40 \%$, the difference between the cost and market value would be reported as a:

A. $\$ 12,000$ realized gain.

B. $\$ 12,000$ unrealized gain.

C. $\$ 20,000$ realized gain.

D. $\$ 20,000$ unrealized gain.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Financial Accounting

ISBN: 9780324380675

10th Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

See More Books

Question Posted: Jun 11, 2024 12:01 AM

See More Questions

. a. You are given the following information in the table below for security A, B and C. The market portfolio has a standard deviation of return at 18%. Security i Bi E(R) A 0.9 6% 22% B 0.6 7%...
Francisco was testing H_0: \mu=10 versus H_\text{a}: \mu>10 with a sample of 6 observations. His test statistic was t=1.952 . Assume that the conditions for inference were met. What is the...
Determine the normal force, shear force, and moment at points E and F of the compound beam. Point E is located just to the left of 800-N force. A 800 N E -1.5 m-1 1200 N 4 5 3 B m2 m- 400 N/m \F -1...
Be able to explain how changes in transportation impacted economic growth in the United States prior to WWI.
(a) A direction field for the differential equation y' = x2 - y2 is shown. Sketch the solution of the initial-value problem y' = x2 - y2 y(0) = 1 Use the graph to estimate the value of y(0.3). (b)...
Discuss the sequence in which the major components of the master budget are prepared. Why is it necessary to prepare the components in such a se quence? LO.1
The labour efficiency variance is the difference between standard hours for the actual output and the actual hours.
According to popcorn.org, the mean consumption of popcorn annually by Americans is 54 quarts. The marketing division of popcorn.org unleashes an aggressive campaign designed to get Americans to...
Question 19 (1 point) ABC. Ltd. uses a perpetual inventory system and the weighted average cost method. The following represents complete information on inventory transactions for ABC. Ltd. for the...
Cisneros Corporation owns $75 \%$ of Harrell Inc. During the current year, Harrell Inc. reported net income of $\$ 150,000$ and declared dividends of $\$ 40,000$. How much would Cisneros...
A material gain resulting from condemning land for public use would be reported on the income statement as a(n): A. extraordinary item. B. other income item. C. restructuring charge. D. fixed asset...
Identify each sequence in Exercise 1 as arithmetic or geometric. State the common difference or the common ratio for each. In Exercise 1 a. u1 = 20 un = un-1 + 6 where n 2 b. u1 = 47 un = un-1- 3...
6. Determine output class A{ ); } public static void main(String args[]) { int x; x = 10; if (x == 10) { int y = 20; System.out.print ("x and y: y = x*2; + y); } y = 100; } System.out.print ("x and...
Anita and Bonita have been roommates for the past two years while they've been in graduate school. Now that they're graduating, they are each planning to move to different cities. Their one joint...
To what extent are business ethics assumed, or taken for granted, by people in businesses?
Empowered by what he has learned in this class about gender, Brady makes a friendly wager with his girfriend, Marlisa: "I bet I can guess how the men and women at the next table will behave during...
In Exercises 29 and 30, find the probabilities and indicate when the "5% guideline for cumbersome calculations" is used. 29. Medical Helicopters In a study of helicopter usage and patient survival,...
Keel Companys fixed overhead costs for the year are expected to be as follows: depreciation, $72,000; supervisory salaries, $92,000; property taxes and insurance, $26,000; and other fixed overhead,...
Calculate the Lagrange polynomial P 2 (x) for the values (1.00) = 1.0000, (1.02) = 0.9888, (1.04) = 0.9784 of the gamma function [(24) in App. A3.1] and from it approximations of (1.01) and (1.03).
American Food Services, Incorporated leased a packaging machine from Barton and Barton Corporation. Barton and Barton completed construction of the machine on January 1 , 2 0 2 4 . The lease...
Which of the following statements is true? Financial measures tend to be lag indicators that report on the results of past actions. LA profit center is responsible for generating revenue, but it is...
Andretti Company has a single product called a Dak. The company normally produces and sells 8 0 , 0 0 0 Daks each year at a selling price of $ 5 6 per unit. The company s unit costs at this level of...

Gwinnett Corporation's temporary investments cost ($ 100,000) and have a market value of ($ 120,000) at the

Question:

Step by Step Answer:

Financial Accounting

Students also viewed these Business questions