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Nookie1986 [14]
1 year ago
9

Suppose General Motors charges its Mexican subsidiary $1 million for auto assembly equipment that could be purchased on the open

market for $800,000. This practice is BEST referred to as:______
Business
2 answers:
SIZIF [17.4K]1 year ago
5 0

Answer: Transfer pricing

Explanation:

OLga [1]1 year ago
5 0

Answer:

<em>Transfer pricing</em>

Explanation:

Goods and services move from one unit to another in the same country, it can also move from one country to another. Transfer pricing is used by companies or units that are usually related, to change the prices of goods and services as they move into such units or countries.

Transfer pricing is a strategy used by these companies to gain tax benefits internationally.

For example, General Motors charges a high price for sales of auto assembly equipment for its Mexican subsidiary. This high price will lead to a lower profit for the Mexican subsidiary which would result in a lower tax.

<em>General Motors is using transfer pricing to alter the tax they pay in Mexico by increasing the price of the products in Mexico.</em>

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Where can I find a copy of my residence weekend attendance records? MyUC / UC One My advisor My UC Email All of the above
Margarita [4]

Answer: Your Advisor

Explanation:

MyUC / UC One is a portal for UC students.

6 0
2 years ago
Scora, Inc., is preparing its master budget for the quarter ending March 31. It sells a single product for $50 per unit. Budgete
valentina_108 [34]

Answer:

As per Sales Budget the budgeted sales for the quarter four are $240,000. Below is the Sales budget.

Explanation:

Scora, Inc.    

Sales Budget    

Month Budgeted Unit Sales Budegted Unit Price Budgeted Total Sales

                                  (A)                             (B)               (A*B)

January                          1200                   $50            $60,000

February                         2000                   $50            $100,000

March                         1600                   $50            $80,000

Total for the quarter 4800                   $50            $240,000

Hence, it is concluded that the budgeted sales for the January, February, March are $240,000.

5 0
2 years ago
Jane, a partner in a cpa firm, borrows $100,000 on a secured note from one of the firm's bank audit clients to build a new dorme
dezoksy [38]

No, because Jane is not able to influence the engagement or on the attest team. According to Interpretation 101-1<span>, </span>the independence is not impaired except the manager falls within the description of a “covered member” in ET section 92.06. Jane in general would not be well-thought-out a covered member since she is not on the attest engagement team and does not be responsible for non-attest services to the client.

5 0
2 years ago
Orleans Corporation, a U.S. corporation, reported U.S. taxable income of $2,000,000. Included in the computation of taxable inco
Dafna11 [192]

Answer:

$420,000

Explanation:

Calculation for Orleans’s net U.S. tax liability

Using this formula

Tax liability=Taxable income×U.S tax rate

Let plug in the formula

Tax liability=$2,000,000×21%

Tax liability=$420,000

Therefore Orleans’s net U.S. tax will be $420,000. The withholding tax amount of $8,000 was not included because it was already imposed on the dividend.

8 0
1 year ago
Analyzing the effects of transactions on the accounting equation.
Dmitry [639]

Answer:

I used an excel spreadsheet to record the accounts using the accounting equation.

What is the ending balance of cash after all transactions have been recorded?

$163,900

Download pdf
8 0
2 years ago
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