Ly Company disposed of two different assets. On January 1, prior to their disposal, the accounts reflected the following:
Original Cost Residual Value Estimated Life Accumulated Depreciation
Asset (straight-line)
Machine A $39,000 $4,500 6 years $28,750 (5 years)
Machine B 75,200 5,900 14 years 54,450 (11 years)
The machines were disposed of in the following ways:
a. Machine A: Sold on January 1 for $11,000 cash
b. Machine B: On January 1, this machine suffered irreparable damage from an accident and was removed immediately by a salvage company at no cost.
Required:
Prepare the journal entries related to the disposal of Machine A and B at the beginning of the current year.

Tara incorporates her sole proprietorship, transferring it to newly formed black corporation. the assets transferred have an adjusted basis of $240,000 and a fair market value of $300,000. also transferred was $10,000 in liabilities, $1,000 of which was personal and the balance of $9,000 being business related. in return for these transfers, tara receives all of the stock in black corporation. a. black corporation has a basis of $241,000 in the property. b. black corporation has a basis of $240,000 in the property. c. tara’s basis in the black corporation stock is $241,000. d. tara’s basis in the black corporation stock is $249,000. e. none of the above.

Alarge university wanted to study the relationship between completing an internship during college and students' future earning potential. prom the same graduating class, they selected a random sample of 80 students who completed an internship and 100 students who did not complete an internship and examined their salaries five years after graduation. they found that there was a statistically higher mean salary for the internship group than for the noninternship group. which of the following interpretations is the most appropriate? a. there could be a confounding variable, such as student major, that explains the difference in mean salary between the internship and no internship groups.b. we cannot infer anything from these data since the distribution of salaries is likely right skewed.c. you cannot draw any valid conclusions because the sample sizes are different.d. more students should complete internships because having an internship produces a higher salary.

What role do business cycles play in a market economy