D 40000 15000 10000 0 cpa 02134 explanation choice

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Unformatted text preview: 10,000) Taxable income Income tax 15% × $50,000 + [25% × ($63,000 − $50,000)] $70,000 (7,000) $63,000 $ 7,500 3,250 $10,750 20 © 2009 DeVry/Becker Educational Development Corp. All rights reserved. Maxixishere Pdf Collection Becker CPA Review, PassMaster Questions Lecture: Regulation 3 Choices "a", "c", and "d" are incorrect. The $10,000 dividend is from an unrelated corporation. [This means less than 20% of the company is owned. A 70% dividends received deduction is available.] CPA-02134 Type1 M/C A-D 46. CPA-02134 ARE May 94 #52 Corr Ans: D PM#63 R 3-01 Page 3 Adams, Beck, and Carr organized Flexo Corp. with authorized voting common stock of $100,000. Adams received 10% of the capital stock in payment for the organizational services that he rendered for the benefit of the newly formed corporation. Adams did not contribute property to Flexo and was under no obligation to be paid by Beck or Carr. Beck and Carr transferred property in exchange for sto...
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This note was uploaded on 06/14/2013 for the course ACCOUNTING Regulation taught by Professor Becker during the Fall '10 term at Keller Graduate School of Management.

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