Question
Craig owns 80% of the voting common shares of a gym equipment distributor named Gymsocks Inc. Gymsocks Inc. gives Craig a loan of $100,000 on
Craig owns 80% of the voting common shares of a gym equipment distributor named Gymsocks Inc. Gymsocks Inc. gives Craig a loan of $100,000 on November 1, 2014 so that he can pay off some bills. The year-end of Gymsocks Inc. is December 31. The prescribed rate is 1%.
It is now April 30, 2015, what amount will be included in Craigs income so far from the loan?
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Cost Accounting Principles And Applications
Authors: Horace R. Brock
5th Edition
0070081522, 978-0070081529
