In each of the following cases, determine if the United States has jurisdiction to tax Mr. Tompkin. Required: a. Mr. Tompkin is a U. S. citizen but has been a permanent resident of Belgium since 1993. multiple choice 1 U. S. has jurisdiction U. S. does not have jurisdiction b. Mr. Tompkin is a citizen and resident of Canada. He owns an apartment building in Buffalo, New York, that generates $18,000 annual net rental income. multiple choice 2 U. S. has jurisdiction U. S. does not have jurisdiction c. Mr. Tompkin is a citizen of Singapore but is a permanent resident of St. Louis, Missouri. multiple choice 3 U. S. has jurisdiction U. S. does not have jurisdiction d. Mr. Tompkin, a citizen and resident of Greece, is a partner in Sophic Partnership, which conducts business in 12 countries, including the United States. multiple choice 4 U. S. has jurisdiction U. S. does not have jurisdiction

Presented below is a list of possible transactions. analyze the effect of the 18 transactions on the financial statement categories indicated. transactions assets liabilities owners’ equity net income 1. purchased inventory for $80,000 on account (assume perpetual system is used). 2. issued an $80,000 note payable in payment on account (see item 1 above). 3. recorded accrued interest on the note from item 2 above. 4. borrowed $100,000 from the bank by signing a 6-month, $112,000, zero-interest-bearing note. 5. recognized 4 months’ interest expense on the note from item 4 above. 6. recorded cash sales of $75,260, which includes 6% sales tax. 7. recorded wage expense of $35,000. the cash paid was $25,000; the difference was due to various amounts withheld. 8. recorded employer’s payroll taxes. 9. accrued accumulated vacation pay. 10. recorded an asset retirement obligation. 11. recorded bonuses due to employees. 12. recorded a contingent loss on a lawsuit that the company will probably lose. 13. accrued warranty expense (assume expense warranty approach). 14. paid warranty costs that were accrued in item 13 above. 15. recorded sales of product and related service-type warranties. 16. paid warranty costs under contracts from item 15 above. 17. recognized warranty revenue (see item 15 above). 18. recorded estimated liability for premium claims outstanding.