Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Debtor files for bankruptcy on December 1, 2020. The bankruptcy trustee will find the following things. Tell me if each of these are examples of

Debtor files for bankruptcy on December 1, 2020. The bankruptcy trustee will find the following things. Tell me if each of these are examples of a preferential treatment or not, and explain why

Debtor and First Bank entered into a loan agreement on February 1, 2020. The loan was for $100,000 at 5% interest. This was an unsecured loan. The loan was to be paid back on August 1, 2020 in full (102500). The debtor did not repay on August 1st but did send a partial payment of $25,000 to First Bank on September 30, 2020.

Same as above except the loan was to be paid back in one year with monthly payments of $8250. The debtor made payment every month starting with March 1st and ending on December 1st.

Creditor financed the purchase of inventory for the debtor in the amount of $50,000. There was a proper security agreement and financing statement. The inventory was delivered to the debtor on July 31, 2020. The financing statement was file in the proper place on September 15, 2020.

Creditor financed the purchase of a piece of equipment for the debtor in the amount of $100,000 on August 15, 2020. All of the proper documents were created. The equipment was delivered to the debtor on August 29, 2020. The creditor filed the financing statement at the

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
Questions 25 thru 20 refer to Theresa Kearney Corporation whose Income Statement showed Net Income [for book purposes] Before Taxes of $20,000. The tax rate is 25%. [Consider each question as a stand-alone scenario] 25] 25] 27] 29] If Depreciation Expense for tax purposes is $4,000 higher than what was used for book purposes, the entry to record taxes is : A] Income Tax Expense...4,000 Income Tax Payable......4,000 B] Income Tax Expense ..... 4,000 Deferred Tax Asset.......1,000 Income Tax Payable ...... 5,000 C] Di Income Tax Expense ..... 5,000 Income Tax Payable.........5,000 Income Tax Expense ..... 5,000 Deferred Tax Liability.......1,000 Income Tax Payable.........4,000 If book Revenues [correctly] excluded $4,000 of cash collected related to ng year, the entry to record taxes is: Revenue that will be earned in a followi A] Income Tax Expense...5,000 Income Tax Payable......5,000 0] Income Tax Expense ..... 5,000 Income Tax Payable.........6,000 B] Income Tax Expense ..... 5,000 Deferred Tax Asset.......1,000 Income Tax Payable ...... B, 000 Di Income Tax Expense ..... 5,000 Deferred Tax Liability.......2,000 Income Tax Payable.........4,000 If book Revenues included 84,000 that will not be taxable until a following year, the entry to record taxes is: A] Income Tax Expense...4,000 Income Tax Payable ..... 4,000 0] Income Tax Expense ..... 5,000 Income Tax Payable.........5,000 B] Income Tax Expense....4,000 Deferred Tax Asset......1,000 Income Tax Payable ...... 5,000 D] Income Tax Expense ..... 5,000 Deferred Tax Liability.......1,000 Income Tax Payable.........4,000 If the Expenses include 54,000 of items that are permanently deductible for tax purposes, the entry to record taxes Is : A] Income Tax Expense...4,000 0] Income Tax Expense ..... 5,000 Income Tax Payable ..... 4,000 Income Tax Payable.........5,000 B] Income Tax Expense....4,000 D] Income Tax Expense ..... 5,000 Deferred Tax Asset......1,000 Income Tax Payable ...... 5,000 Deferred Tax Liability ..... 1,000 Income Tax Payable.........4,000 Question 3 ccounting theorists? Some researchers who utilise Legitimacy Theory posit that organisations will attempt to operate within the terms of their 'social contract'. What is a social contract? Question 4 In 2006 the Australian Government established an inquiry into corporate social responsibilities with the aim of deciding whether the Corporations Act should be amended so as to specifically include particular social and environmental responsibilities within the Act. At the completion of the inquiry it was decided that no specific regulations would be added to the legislation, and that instead, 'market forces' would be relied upon to encourage companies to do the 'right thing' (that is, the view was expressed that if companies did not look after the environment, or did not act in a socially responsible manner, then people would not want to consume the organisations' products, and people would not want to invest in the organisation, work for them, and so forth. Because companies were aware of such market forces they would do the 'right thing' even in the absence of legislation). You are required to explain the decision of the government that no specific regulation be introduced from the perspective of: 1. Public Interest Theory 2. Capture Theory 3. Economic Interest Group Theory of regulation.Welcome to Question 21 The main components of government revenues are Not yet answered Select one: Marked out of 1 00 a. personal income taxes, corporate income taxes, indirect taxes, and investment and other income. P Flag question O b. transfer payments, investment income, and indirect taxes. c. debt interest, corporate income taxes, and income taxes. O d. corporate income taxes, indirect taxes, and transfer payments. O'e. debt interest, expenditures on goods and services, and income taxes. Question 22 The effort atIn general, individuals in the lowest two quintiles of the income distribution (Include all that apply) Question 24 options: pay no social security taxes are subsidied in terms of the personal income tax pay modest positive average personal income tax rates C pay high personal income tax rates. C pay no personal income taxes SaveQuestion 4 Which of the following paycheck withholdings puts money into a retirement investment fund the you will manage? Social Security O Medicare 401(k) contribution Federal income taxes Question 5

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Criminal Law

Authors: Jonathan Herring

11th Edition

1352005336, 978-1352005332

More Books

Students also viewed these Law questions

Question

16.3 Describe the purpose of Canadian labour laws.

Answered: 1 week ago

Question

16.6 Outline the three waysto obtain union recognition.

Answered: 1 week ago

Question

16.5 Describe the five steps in a union organizing campaign.

Answered: 1 week ago