BusinessIncome

BusinessIncome - ASSIGNMENT PROBLEM BUSINESS INCOME Mr....

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ASSIGNMENT PROBLEM BUSINESS INCOME Mr. Quincey Q. Quick is a wealthy businessman. Among his extensive personal interests, he owns all of the shares of QQQ Industries Ltd., a CCPC. QQQ realized a pre-tax accounting net income of $840,000 during the fiscal year ended December 31, 20X9. A. The following information pertains to amounts included in the income portion of QQQ’s 20X9 income statement: 1. QQQ delivered goods in the following year which were invoiced in 20X9 for $8,000. The $8,000 is included in 20X9 revenue. Payment was received in the following year. 2. Dividends received from a subsidiary corporation — $20,000. B. The following information pertains to amounts included in the expenses on the income statement: 1. Cost of sponsoring a local hockey team — $1,800. 2. Advertising appearing in local newspapers in 20X9 — $1,000. 3. Payments for advertising to appear in national newspapers in the following year — $2,000. 4.
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BusinessIncome - ASSIGNMENT PROBLEM BUSINESS INCOME Mr....

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