Bedrock inc. is owned equally by barney rubble and his wife betty, each of whom hold 980 shares in the company. betty wants to reduce her ownership in the company, and it was decided that the company will redeem 490 of her shares for $27,800 per share on december 31 of this year. betty’s income tax basis in each share is $4,950. bedrock has current e& p of $10,550,000 and accumulated e& p of $50,680,000. a. what is the amount and character (capital gain or dividend) recognized by betty as a result of the stock redemption, assuming only the "substantially disproportionate with respect to the shareholder" test is applied?

b. given your answer to part (a), what is betty’s income tax basis in the remaining 370 shares she owns in the company?

c. assuming the company did not make any dividend distributions this year, by what amount does bedrock reduce its e& p as a result of the redemption?

Gary becker's controversial the economics of discrimination concludes that price discrimination has no effect on final profits. price discrimination benefits monopolies. labor discrimination in hiring results in more efficient allocations of production. discrimination in hiring practices has no effect on final profits. labor discrimination harms firms that practice it due to increased labor costs. price discrimination harms monopolies, which refutes over two centuries of economic theory.

Kiona co. set up a petty cash fund for payments of small amounts. the following transactions involving the petty cash fund occurred in may (the last month of the company's fiscal year). may 1 prepared a company check for $350 to establish the petty cash fund. 15 prepared a company check to replenish the fund for the following expenditures made since may 1. a. paid $109.20 for janitorial services. b. paid $89.15 for miscellaneous expenses. c. paid postage expenses of $60.90. d. paid $80.01 to the county gazette (the local newspaper) for an advertisement. e. counted $26.84 remaining in the petty cashbox. 16 prepared a company check for $200 to increase the fund to $550. 31 the petty cashier reports that $380.27 cash remains in the fund. a company check is drawn to replenish the fund for the following expenditures made since may 15. f. paid postage expenses of $59.10. g. reimbursed the office manager for business mileage, $47.05. h. paid $48.58 to deliver merchandise to a customer, terms fob destination. 31 the company decides that the may 16 increase in the fund was too large. it reduces the fund by $50, leaving a total of $500.

Large public water and sewer companies often become monopolies because they benefit from although the company faces high start-up costs, the firm experiences average production costs as it expands and adds more customers. smaller competitors would experience average costs and would be less