Business, 15.10.2019 17:30 Derrick253

You are an accountant working with a large corporation that manufactures functional desk supplies (staplers, hole punches, in a staff meeting with the chief financial officer (cfo) and several other accountants, the cfo mentions that your company has found a company that produces office decorations (prints, paintings, clocks). the cfo mentions that your company would like to buy this decoration business but it has had a few hard years and has a tremendous amount of debt. your company’s president does not want to merge with the decorating company because he does not want its debts to come with the purchase. instead, he would like to buy the assets of the decorating company, disclaim the debt, and create a new subsidiary of your company to run that business. he wants to offer a small amount of stock in your company and in the new subsidiary as payment for the assets, but primarily will be giving the current management of that company jobs within the new company to pay for the assets. you’re concerned that this may not work and that your company will still have responsibility for the liabilities of the decorating company. explain what could be problematic about your president’s desired approach.

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 09:40

Wilson center is a private not-for-profit voluntary health and welfare entity. during 2017, it received unrestricted pledges of $638,000, 65 percent of which were payable in 2017, with the remainder payable in 2018 (for use in 2018). officials estimate that 14 percent of all pledges will be uncollectible. a. how much should wilson center report as contribution revenue for 2017? b. in addition, a local social worker, earning $20 per hour working for the state government, contributed 600 hours of time to wilson center at no charge. without these donated services, the organization would have hired an additional staff person. how should wilson center record the contributed service?

Answers: 2

Answer

Business, 22.06.2019 22:20

What type of negotiating strategy requires the supplier to open its books to the purchasers? a. competitive biddingb. cost-based price modelc. price-based modeld. market-based price modele. transparent negotiations

Answers: 1

Answer

Business, 22.06.2019 23:00

Investors who put their own money into a startup are known as a. mannequins b. obligators c. angels d. borrowers

Answers: 1

Answer

Business, 23.06.2019 14:30

The following data is provided for garcon company and pepper company. garcon company pepper company beginning finished goods inventory $12,600 $16,900 beginning work in process inventory 17,600 21,600 beginning raw materials inventory 7,700 10,650 rental cost on factory equipment 28,500 23,050 direct labor 23,000 39,800 ending finished goods inventory 18,500 14,100 ending work in process inventory 26,500 19,800 ending raw materials inventory 6,800 7,600 factory utilities 12,300 17,750 factory supplies used 13,000 4,400 general and administrative expenses 31,000 59,500 indirect labor 2,450 9,580 repairsâ€”factory equipment 6,860 3,700 raw materials purchases 37,000 66,000 selling expenses 51,200 48,700 sales 238,530 337,510 cash 29,000 17,200 factory equipment, net 217,500 118,825 accounts receivable, net 16,800 24,200 compute the total prime costs for both garcon company and pepper company.

Answers: 1

Answer

You know the right answer?

You are an accountant working with a large corporation that manufactures functional desk supplies (s...

Questions