Rationale for accounting for normal spoilage
What is the theoretical rationale for accounting for normal spoilage and rework differently from abnormal spoilage and rework? Be specific. As a hint, think about how GAAP says we should calculate the cost of inventory.
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Customers purchased $11,000 of instruments paying cash of $5,900 with the rest being on account. The cost of the instruments sold was $6,500.
Determine Tiffany's basis in the land, accounts receivable and TMF partnership after the distribution.
Justin and Tiffany form the equal TJ Partnership. Justin contributes cash of $300,000. Tiffany contributes property with an adjusted basis of $200,000 and a fair market value of $300,000.
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Donna files head of house for 2011. She has taxable income of $90,000, including the sale of a stock held as an investment for two years at a gain of $20,000. Only one asset was sold during the year and Donna does not ahve any capital loss carryov
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