Nancy and her daughter, Kathleen, have been working together in a cattery called "The Perfect Cat." Nancy formed the business several years ago as a sole proprietorship, and it has been very successful. Assets ct1rrently have a fair market value of $450,000 and a basis of $180,000. On the advice of their tax accounta时， Nancy decides to incorporate "The Perfect Cat." Because of Kathleen's participation, Nancy would like her to receive shares in the corporation. What are the relevant tax issues?

Jagjit company designs and builds retaining walls for individual customers. on august 1, there were two jobs in process: job 93 with a beginning balance of $8,650, and job 94 with a beginning balance of $7,270. jagjit applies overhead at the rate of $9 per direct labor hour. direct labor wages average $16 per hour. data on august costs for all jobs are as follows:

How are interest rates calculated by financial institutions? financial institutions generally calculate interest as (1) interest or (.

You are working on a bid to build two city parks a year for the next three years. this project requires the purchase of $249,000 of equipment that will be depreciated using straight-line depreciation to a zero book value over the three-year project life. ignore bonus depreciation. the equipment can be sold at the end of the project for $115,000. you will also need $18.000 in net working capital for the duration of the project. the fixed costs will be $37000 a year and the variable costs will be $148,000 per park. your required rate of return is 14 percent and your tax rate is 21 percent. what is the minimal amount you should bid per park? (round your answer to the nearest $100) (a) $214,300 (b) $214,100 (c) $212,500 (d) $208,200 (e) $208,400