Question
A subsidiary of Kerr Corporation purchases finished goods from its foreign parent at a price of $150 per unit., and sells goods in the local
A subsidiary of Kerr Corporation purchases finished goods from its foreign parent at a price of $150 per unit., and sells goods in the local market at a price of $150, and remits 100% of its profit to the parent company, upon which it pays a 10% dividend withholding tax. Ignore income taxes, what is the total cash flow (included the sale payment) received by Kerr Corporation?
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Horngrens Accounting
Authors: Tracie L. Miller nobles, Brenda L. Mattison, Ella Mae Matsumura
12th edition
9780134487151, 013448715X, 978-0134674681
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