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yuradex [85]
2 years ago
12

Bonnie and Clyde each own one-third of a fast-food restaurant, and their 13-year-old daughter owns the other shares. Both parent

s work full-time in the restaurant, but the daughter works infrequently. Neither Bonnie nor Clyde receives a salary during the year, when the ordinary income of the S corporation is $180,000. An IRS agent estimates that reasonable salaries for Bonnie, Clyde, and the daughter are $30,000, $35,000, and $10,000, respectively. What adjustments would you expect the IRS to impose upon these taxpayers?
Business
1 answer:
yanalaym [24]2 years ago
7 0

Answer:

Net income = $180,000

- salaries = ($30,000 + $35,000 + $10,000 = $75,000)

adjusted net income = $105,000

the adjusted net income must now be divided equally between the 3 partners:

  • Bonnie: $35,000
  • Clyde: $35,000
  • daughter: $35,000

Their yearly gross income:

  • Bonnie: $35,000 + $30,000 = $65,000
  • Clyde: $35,000 + $35,000 = $70,000
  • daughter: $35,000 + $10,000 = $45,000

total taxable income = $65,000 + $70,000 + $45,000 = $180,000

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BG, Inc. reported the following information related to their manufacturing costs: Direct Labor $200,000; Direct Materials $ 150,
bagirrra123 [75]

Answer:

$450,000

Explanation:

Given that,

Direct Labor = $200,000;

Direct Materials = $150,000;

Manufacturing Overhead Costs = $250,000

Therefore, the total amount of conversion cost is the sum total of direct labor cost and manufacturing overhead cost.

Total amount of BG, Inc's conversion costs:

= Direct Labor cost + Manufacturing Overhead Costs

= $200,000 + $250,000

= $450,000

8 0
2 years ago
Each year in December, Anheuser-Busch runs television ads featuring the Clydesdale horses pulling a stagecoach with an Anheuser-
MAXImum [283]

Answer: Reminder advertising

Explanation:

A reminder advertising is an advertisement that is designed to remind customers of an existing or well-known product. Reminder advertising is a marketing strategy that usually consist of brief messages that is sent with the aim of reminding the target consumer about a product, or service.

Anheuser-Busch, every December runs television advertisment which features horses pulling a stagecoach that has the Anheuser-Busch logo. This is a reminder advertisement as the company is reminding the people about its products.

8 0
2 years ago
What are the two principal animal research regulatory documents used by the public health service?
BARSIC [14]
<span>"Public Health Service Policy on Humane Care and Use of Laboratory Animals" by the US Deparment of Health and Human Services; and "Guide for the Care and Use of Laboratory Animals" by the National Research Council of the National Academies.</span>
6 0
2 years ago
In a lean environment, process problems are more visible than they are in a traditional environment because:
sergey [27]

Answer:

The reason why process problems are more visible in lean environment then they are in a traditional environment because C) process problems cause production to shut down immediately.

Explanation:

Lean manufacturing is a type of business model where the focus is on eliminating the wasteful activities from the production area, warehouse or office etc and because of these activities a business is unable to add value to customer and limits supply chain capacity, and so by eliminating these wasteful activities , a business would want to provide same quality of goods with greater efficiency.

Therefore whenever there are process problems in lean environment, it causes production to shut down immediately because of the lack of inventory.

7 0
2 years ago
In most instances, who is in the best position to perform the function of appraising an employee's performance? someone from the
natka813 [3]
The answer would be:
the employees supervisor.

Hope this helps
3 0
2 years ago
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