incurred during the taxable year in carrying on any trade or business”. (http://www.law.cornell.edu/uscode/text/26/162). Conclusion The $25‚000 is an allowable business expense deduction and will not be included in gross income. Issue (c): What is your determination regarding reducing the taxable amount of income for both (a) and (b) above? John Smith will be required to pay income tax on the $300‚000 only. He should consider itemizing his deductions instead of taking the standard deduction
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the audit firm would do well to enlist the help of those who have taken part in an audit in the dog food business. They could lend insight into the intricacies of the business without the need to do extensive research. 2. Assess the client’s business risk. In Smackey’s case‚ there are serious issues ranging from loan payment‚ inventory‚ materials shortage‚ sales commission overpayment‚ a pending lawsuit‚ possible buyer loss‚ and an interesting accountant/accounting system. After a cursory
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Leases Kimberly McFarland ACC 306 Intermediate Accounting II Instructor Robert Neely January 14‚ 2013 Leases Leases are used by companies and individuals to facilitate asset acquisition. They are accounted for in different ways‚ depending on whether they are operating leases or capital leases‚ and the type of financial report being generated. Residual value is important in accounting for leases and lease payment. Executory costs are accounted for as well‚ and are a consideration in
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their purpose‚ which is to influence the consumer into buying their product. Cell phones ads are very convincing in that they can get any of its viewers to buy their product and get them involved within their plan. This step is done by using one of the aspects and that is ethos. In order for these companies to get the consumer to buy this product‚ they have to be credible. Credibility is the most important aspect of these types of businesses because that is how their products are sold. Most
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an ethical decision that benefits the greater number of people‚ I must consider each person’s health history‚ life expectancy after the transplant‚ and the effect on their families. “If we make decisions on principles of utility or consequence‚ we would carefully consider everyone affected by the decision‚ and weigh the harms and benefits of every action.” (Levith) There are three patients in need of a transplant; Ozzy‚ Lisa and Jerry. The first patient is Ozzy; he has been homeless for the past
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What Would You Do to Be Successful Being a kid with a learning disability can be stressful and challenging in everyday school. I can understand the benefits of online schooling‚ because I experience what the students with learning disabilities go through on a daily basis. Online schooling benefits students that want to get done with schooling early‚ students with with learning disability‚ and some students that wanna be successful in life more. Students at Mona Shores would benefit more
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and the procedures you would follow. Emergency situation The procedure that should be followed … Fire Phone the fire brigade. Ask the children calmly to line up. Take them quickly and calmly to your designated area. Stay with your class at all times Make sure you have all the children by checking the register. Wait for the all clear of your Fire Marshall Security incident (Intruder) Greet Intruder politely‚ introduce yourself and ask the purpose of the visit. Ensure you have a member of
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treated as an income and at the same time as a business expense. The $25‚000 should be included in John’s income since he received it‚ while he still can claim this amount as a business expense‚ so he will be taxed on this amount. 1 Issue (c): What is your determination regarding reducing the taxable amount of income for both (a) and (b) above? In order for John to reduce the taxable amount of his income of $300‚000‚ he must maximize his deductions as business expenses. Business expenses are
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What Makes Me Want to Buy Something . People often buy a lot of things daily . They sometimes don’t know why they want to buy something ‚ but they say it depends on their needs . However ‚ some people buy products for no reason . There are many factors that can affect people’s mind and make them want to buy a certain product . The most important is advertising which plays a vital role in convincing people to buy something . I myself buy products which can grab my attention through
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Computer systems now a days are everywhere. We can find that in places we cannot see or would not expect to find them. This gadget are no longer specialized tools used only by scientists or engineers like before. They are not kept behind sealed-glass walls under a climate-controlled environments anymore. They are a fact of life that companies cannot live without and even individuals like us. It is a common thread that ties together our education‚ work‚ and home life. Thus‚ computer literacy becomes
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