Thin capitalization (accounting - tax)? related questions

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Thin capitalization (accounting - tax)?0Ange2012-08-14 12:20:03
Suppose shareholders loans are considered equity under the concept of fine company , 1 . What tax consequences result in the payment of interest? 2 . on repayment of principal ?
Do banks create money out of thin air?0Rahul2012-11-05 14:07:32
When you get a home loan, does the bank simply create this money out of thin air? Or did they already have all of that money on their books? I almost went through foreclosure and the customer service lady from the bank made me feel really guilty for trying to back out of money I borrowed from them. But if they simply created that money out of thin air then they have no right to give me a guilt trip over it. Actually, if they created the loan money out of thin air, and I foreclosed on the house, then they would gain possession of the home for free. So why would they even try to make me feel guilty about that? Please source your information on how banks create loan money.
Mortgage Help for "thin file" little credit?0Alania2012-09-09 02:06:04
I have 19 years and my girlfriend me getting married and want to get a house they both work full time that i make about 15000 and 25000 each year is also want your mom to move in moving 12,000 a year to help with the mortgage. My girlfriend has bad credit due to no health insurance so you have medical bills and the city lived in profits in the left anterior direction of six years in one place so that she has thousands owed to public services and mom is in the same boat. Now I'm a full time student in college I work hard like my girlfriend and I want to be able to get a house. On paper I do very little, but I have only good credit with my car payment that has been paid on time for 10 month life of the loan is 2 years (total $ 2500) although I am saving and will have paid off by February and although the only thing on my credit is my student loans (totaling $ 8250) which I am on good terms with, I know all this because I checked my credit report, but not my credit score because it costs money and I don 't have a credit card but I also requested a Discover card and has rejected my credit controls were only two times when I was looking for a car and my bank twice trying to get credit in the protection project and my car loan one has a co-signer. I'm not living with my father, but the rent is not my name all invoices are fine, but only from July this year. The market for the house I live we could get a good home for about 50,000 would not be able to make a large down payment but want to take only a ten-year loan and could afford an interest rate of up to 9 %. We have heard we will extend the 8000 first time home buyer tax return until April of the following year, which would be good for the house payment early, but would really like to be in a home by next summer and 8K would good too, but the things I do to try to get this accomplished. Could I get a credit card with an annual fee and balance payment is always a good idea because I thought the cards you have to pay for that are scams or not reported to credit bureaus and how I can get pre-approval and this would be a good idea at this time or would be a waist of my time and make my score worse?
Is there a way I can qualify for a car loan when my credit profile is still thin?2sherkyra2012-09-03 04:05:02
I have good credit (750) , but I recently tried to apply for a credit card company and was denied because my credit profile is too thin . Right now I'm making about $ 2500 a month , but I'm a massage therapist , so I pay cash directly . I want to buy a car , something reasonable , but I have fear of applying for a car loan and get denied , do not want this to affect my credit . How I can make sure that a lender would recognize the money I'm making now ? Or is this all just a matter of time , as my profile is too " thin" at this time ? What would my car loan application judged?
What does the term "interest capitalization" mean in terms of loans (student loans in particular)?0racheal2012-10-02 03:23:03
The grace period for my student loan is almost over , and I've noticed that the interest has accrued since graduation until now. In my Direct Loan statement reads as follows : MedlinePlus MedlinePlus " To avoid or reduce the capitalization of interest at the time of entering the refund, you can choose to pay all or part of its Total unpaid interest now . If you choose to pay later, please see payment information ad for more specific payment information. " MedlinePlus MedlinePlus What does that mean ? I have about $ 700 in interest , plus the amount of money I expect to pay my payment plan from next month . So what happens if I decide to start paying the interest payment after start?
Accounting?0Demie2012-08-28 19:58:03
Balance December 31, 2003 MedlinePlus ( thousands ) MedlinePlus 72 Cash MedlinePlus Accounts receivable , net 93 MedlinePlus Interest receivable 3 135 Inventory MedlinePlus Prepaid expenses 18 Plant assets , net 245 Total 272 MedlinePlus Accounts payable 91 MedlinePlus Accrued liabilities 5 Long Term Notes Payable 160 Common stock 200 MedlinePlus Retained earnings 110 MedlinePlus Total 566 MedlinePlus MedlinePlus Tranactional data (1 January 04-31 March 2004) MedlinePlus Credit sales 284,000 MedlinePlus Returnes to customers ( on credit ) by March 45 000 31.04 MedlinePlus Cost of sales of 55% of net sales MedlinePlus MedlinePlus 271,000 customers Collections Account 90,000 Purchases from MedlinePlus Cash dividends 16,000 Cash paid for equipment 150,000 MedlinePlus MedlinePlus 18,000 loan payment Proceeds from issuance of common stock 87,000 more MedlinePlus Proceeds from long-term debt 45,000 MedlinePlus Payments to suppliers 156,000 MedlinePlus Salary expenses (cash ) 56 , 000 MedlinePlus Depreciation 14, 000 MedlinePlus Enter inventing obsolete . March 31.2004 12.000 MedlinePlus Other operating expenses (cash ) 19,000 MedlinePlus 4000 Interest expense MedlinePlus MedlinePlus Create a balance sheet , score sheet , cash flow statement ending March 31, 2004
Accounting?0MOSS2012-09-03 04:24:03
Business is booming by Dan Brown
Do you think Accounting is for me?1XOCHIL2012-09-11 19:09:03
I've been looking to further my education in pursuit of a better career, but I have no desire to attend college for 4 years. I am currently doing a bit more than $ 26,000 a year with my high school diploma only, so I've been investigating two-year degrees and most salary ranges or are similar to what you currently earn, or not enough to justify more debt loans. However, I recently discovered a technical college right nonprofit, near where I work, offering a fully online two years aimed at AAS in accounting. I did some research and found that on average, an accountant can earn more than $ 30 + / hr right college with the opportunity to rise steadily, which I find amazing. This is my fight, I have always dreaded math. I never enjoyed my math classes in high school, and struggled to understand the more complicated equations. With that said, I DO manage finances well, managing money and have a basic understanding of the assets and equity and interest in learning tax preparation work. After some research I found that many students take courses in accounting indicate that also do not like mathematics, however, enjoy the logic of numbers and the focus of a counter style - mathematics. I currently work a job that involves medical billing, so I have experience with basic math, and billing and, if that helps. Based on what I said, do you think that accounting can be in my future? I am in no way a guy who has the numbers naturally to my head, but I really like the credit management money management debt, and financing. Your thoughts? Much appreciated!
Need help with accounting?1Tseday2012-11-01 20:21:02
The answer below is correct , but just does not make sense to me. Why not cash 202,300 debt , we are asking the company to borrow 202,300 . and why the finance charge is not 4046 ? Thanks ( Accounts Receivable Assignment) On April 1, 2010 , the company allocated $ 427,100 Prince of accounts receivable at Third National Bank as collateral for a loan of $ 202,300 maturing on July 1, 2010 . The transfer agreement requires the company to continue the prince, to collect. Third National Bank assesses a finance charge of 2 % of accounts receivable and interest on the loan is 10 % ( a real rate of interest for a note of this type) . ( A) Prepare the April 1, 2010 , diary entry of the Prince's company . Description / debit credit account 193,758 Cash 8542 Finance Charges Notes payable 202.300
ACCOUNTING 110 HELP!!!!!!!!!!!!!!!!?0ã„‘ hate Math 2012-09-01 12:51:03
During the month of February, Western Corporation employees earned a salary of $ 100,122. Withholdings related to these wages were $ 5,683 for Social Security (FICA), $ 9,877 for federal income tax, and $ 2,435 for state income tax. The costs of unemployment taxes was $ 149 for federal and $ 216 for the state. MedlinePlus Prepare journal entries for February 28 (a) wages and salaries expenditure payable assuming that all wages will be paid in February March and (b) the tax on the company payroll. (List multiple debit / credit entries high to low amount, for example, 10, 5, 2). MedlinePlus MedlinePlus Date Description / Account Debit Credit MedlinePlus (A) 28 February MedlinePlus MedlinePlus MedlinePlus MedlinePlus MedlinePlus (B) 28 February MedlinePlus MedlinePlus MedlinePlus 2. Goliath Corporation issued $ 351,000 of bonds for $ 365,040. (A) Prepare the journal entry to record the issuance of the Bonds, and (b) show how the bonds are reported in the balance sheet at the date of issue. MedlinePlus MedlinePlus Date Description / Account Debit Credit MedlinePlus February 28 MedlinePlus MedlinePlus MedlinePlus MedlinePlus MedlinePlus $ MedlinePlus Plus: MedlinePlus MedlinePlus MedlinePlus MedlinePlus $ MedlinePlus MedlinePlus 3. Melissa Hoadley and Kelly Quayle borrowed $ 21,924 on a 7-month, 9% note from Gopher State Bank to open their business, MK Coffee House. The money was paid on 1 June 2010, and the note due January 1, 2011. MedlinePlus MedlinePlus (A) Preparation of the entry to record the receipt of loan funds. MedlinePlus MedlinePlus MedlinePlus Date Account / Description Debit Credit MedlinePlus June 1 MedlinePlus MedlinePlus MedlinePlus (B) Prepare the entry to accrue the interest on June 30. (Answers Round to 0 decimal places, eg 255 and use a rounded amount for future calculations.) MedlinePlus MedlinePlus MedlinePlus Date Account / Description Debit Credit MedlinePlus June 30 MedlinePlus MedlinePlus MedlinePlus (C) Assuming adjusting entries made at the end of each month, determine the account balance of interest payable at December 31, 2010. MedlinePlus MedlinePlus $ MedlinePlus MedlinePlus (D) Prepare the entry required on January 1, 2011, when the loan is repaid. (List multiple debit / credit entries high to low amount, for example, 10, 5, 2). MedlinePlus MedlinePlus MedlinePlus Date Account / Description Debit Credit MedlinePlus January 1 MedlinePlus MedlinePlus 4. On September 1, 2010, Elmdale Corporation issued $ 647,100, 8%, 10-year bonds at face value. Interest is paid annually on September 1. Elmdale year end is December 31. MedlinePlus MedlinePlus Prepare journal entries to record the following events. (List multiple debit / credit entries high to low amount, for example, 10, 5, 2. Round responses to 0 places, for example 25,100) MedlinePlus MedlinePlus (A) The issuance of the bonds. MedlinePlus MedlinePlus MedlinePlus Date Account / Description Debit Credit MedlinePlus September 1 MedlinePlus MedlinePlus MedlinePlus (B) The accrual of interest at December 31, 2010. MedlinePlus MedlinePlus MedlinePlus Date Account / Description Debit Credit MedlinePlus December 31 MedlinePlus MedlinePlus MedlinePlus (C) The interest payment on September 1, 2011. MedlinePlus MedlinePlus MedlinePlus Date Account / Description Debit Credit MedlinePlus September 1
Hello, do you know how to do accounting?0tayler2012-09-01 05:50:04
I have a couple of questions and would appreciate if you could answer any of them. MedlinePlus MedlinePlus 1. What are sales to customers who use bank credit cards such as Visa or MasterCard registered as? MedlinePlus MedlinePlus 2. Pete, Inc. 's 2008 income statement, net sales of $ 8,000,000, uncollectible accounts expense of $ 360,000, and net income of $ 900,000. Average accounts receivable Pete in 2008 amounted to $ 1,600,000. With 360 days to one year, Pete MedlinePlus one. Accounts receivable turnover rate is approximately 4.4 times. MedlinePlus b. Accounts receivable turnover rate is approximately 2.5 times. MedlinePlus c. Average number of days to collect an account receivable is 72 days. MedlinePlus d. Accounts receivable turnover rate is about 2 times. MedlinePlus MedlinePlus 3. Factoring of receivables is as follows: MedlinePlus One way to sell. MedlinePlus One way of pledging as collateral for a loan. MedlinePlus One way to get money quickly. MedlinePlus All three of the above . 5. The Sigma Corporation's financial statements include a holding gain on investments. This item: MedlinePlus It is included in the income statement. MedlinePlus Shown as a reduction in stockholders' equity total. MedlinePlus Indicates Sigma securities market is worth more than the cost. MedlinePlus Sigma Corporation Claim securities sold during the period was a gain. MedlinePlus MedlinePlus 5. Financial assets include all of the following except MedlinePlus Cash MedlinePlus Marketable securities MedlinePlus Inventories MedlinePlus Accounts receivable MedlinePlus MedlinePlus 6. The company's accounting records showed Golden Cash $ 15.250 as of June 30. The balance of the account statement as of June 30 was $ 15, 125. The reconciling items were only deposits in transit $ 3,200, outstanding checks totaling $ 4,100, a $ 1,000 NSF check returned by the bank of gold that had not changed back to the client, and a bank service charge $ 25. preparing a bank reconciliation should indicate gold property in cash on June 30 in the amount of: MedlinePlus MedlinePlus $ 14,475 MedlinePlus $ 15,375 MedlinePlus $ 14,225 MedlinePlus $ 15,525 MedlinePlus 7. The accountant prepared a check for $ 58, but accidentally recorded it as $ 85. In preparing the bank reconciliation, this must be corrected by: MedlinePlus Adding $ 27 to the bank account MedlinePlus Subtract $ 27 from the bank account MedlinePlus Adding $ 27 to the account balance Subtract $ 27 for balancing the USDA Agricultural Research MedlinePlus 8. MedlinePlus MedlinePlus Taylor, Inc. had accounts receivable of $ 310,000 and an allowance for doubtful accounts of $ 19,500 before writing it off as a receivable value of the company of $ 1,300 Burton. The net realizable value of accounts receivable before and after the cancellation were: MedlinePlus $ 290,500 $ 289,200 before and after. MedlinePlus $ 290,500 $ 290,500 before and after. MedlinePlus $ 310,000 $ 308,700 before and after. MedlinePlus $ 329,500 $ 328,200 before and after. MedlinePlus MedlinePlus Thank you! If you still can just answer one of them would be very grateful! MedlinePlus
Accounting help 10 pts!!!!!!?0I need ENGLISH help2012-09-22 16:20:03
Billy Bob Incorporated has a line of credit from Down South National Bank that is due to be renewed on February 1. The bank has asked the company reports earnings and balance currents below. MedlinePlus MedlinePlus Billy Bob Incorporated MedlinePlus MedlinePlus Income Statement At December 31 MedlinePlus (In thousands) MedlinePlus MedlinePlus Income: MedlinePlus MedlinePlus MedlinePlus Sales $ 60,000 MedlinePlus MedlinePlus MedlinePlus Other MedlinePlus 4500 MedlinePlus MedlinePlus Total revenues MedlinePlus 64,500 MedlinePlus Expenses: MedlinePlus MedlinePlus Cost of goods sold MedlinePlus MedlinePlus 40,500 MedlinePlus Selling and Administrative MedlinePlus MedlinePlus 11,625 MedlinePlus Depreciation and amortization MedlinePlus MedlinePlus 1875 MedlinePlus MedlinePlus interest 1500 MedlinePlus MedlinePlus MedlinePlus total expenses MedlinePlus 55,500 MedlinePlus Income before income taxes MedlinePlus MedlinePlus 9000 MedlinePlus Income tax MedlinePlus MedlinePlus 3600 MedlinePlus MedlinePlus net income MedlinePlus 5400 MedlinePlus Dividends to common shareholders ($ 3.86 per share) MedlinePlus: Less MedlinePlus 2550 MedlinePlus Net income added to retained earnings MedlinePlus MedlinePlus 2850 MedlinePlus Retained earnings, beginning of year MedlinePlus MedlinePlus 8550 MedlinePlus Retained earnings at end of year MedlinePlus MedlinePlus $ 11,400 MedlinePlus Earnings per share MedlinePlus MedlinePlus $ 8.18 MedlinePlus Billy Bob Incorporated MedlinePlus Balance Sheet MedlinePlus At December 31 MedlinePlus (In thousands) MedlinePlus MedlinePlus This MedlinePlus Year MedlinePlus Last Year MedlinePlus MedlinePlus Assets MedlinePlus MedlinePlus MedlinePlus Current assets: MedlinePlus MedlinePlus Cash and marketable securities MedlinePlus MedlinePlus $ 1,950 MedlinePlus $ 1,575 MedlinePlus Accounts receivable, net MedlinePlus MedlinePlus 3600 MedlinePlus 3750 MedlinePlus Inventories MedlinePlus MedlinePlus 4875 MedlinePlus 4650 MedlinePlus MedlinePlus prepaid items 375 MedlinePlus 225 MedlinePlus MedlinePlus Total current assets MedlinePlus MedlinePlus 10,800 MedlinePlus 10,200 MedlinePlus Non-current assets: MedlinePlus MedlinePlus Investments, at cost MedlinePlus MedlinePlus 7950 MedlinePlus 7950 MedlinePlus Deposits MedlinePlus 750 MedlinePlus 600 MedlinePlus MedlinePlus Property, plant and equipment MedlinePlus MedlinePlus 21,000 MedlinePlus 19,500 MedlinePlus MedlinePlus total assets MedlinePlus $ 40,500 MedlinePlus $ 38,250 MedlinePlus MedlinePlus Liabilities and Shareholders

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