Bank Reconciliation May 31, 2020 3
Cash balance per bank statement $ 7,209.60
Add: Deposit in transit $ 1,830.
Bank error - Tomins $ 480.00
$ 2,310.45
$ 9,520.05
Less: Outstanding checks $ 53.55
Adjusted Cash balance per Bank $ 9,466.50
Cash balance per books $ 6,100.50
Add: Electronic funds received $ 3,900.00
$ 10,000.50
Less:
NSF check $ 370.00
Error in May 12 Deposit $ 60.00
Error in recoridng Check No. 1181 $ 54.00
Check printing charge $ 50.00
Adjusted Cash balance per Books $ 534.00
$ 9,466.50
Prepare the necessary adjusting entries for Timmins Company at May 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Which of the following statements is correct? large corporations are taxed more favorably than sole proprietorships. corporate stockholders are exposed to unlimited liability. due to limited liability, unlimited lives, and ease of ownership transfer, the vast majority of u.s. businesses (in terms of number of businesses) are organized as corporations. most businesses (by number and total dollar sales) are organized as partnerships or proprietorships because it is easier to set up and operate in one of these forms rather than as a corporation. however, if the business gets very large, it becomes advantageous to convert to a corporation, mainly because corporations have important tax advantages over proprietorships and partnerships. most business (measured by dollar sales) is conducted by corporations in spite of large corporations’ often less favorable tax treatment, due to legal considerations related to ownership transfers and limited liability.

Kelso electric is debating between a leveraged and an unleveraged capital structure. the all equity capital structure would consist of 40,000 shares of stock. the debt and equity option would consist of 25,000 shares of stock plus $280,000 of debt with an interest rate of 7 percent. what is the break-even level of earnings before interest and taxes between these two options?

In 2015, lori assigned a paid-up whole life insurance policy to an irrevocable life insurance trust (ilit) for the benefit of her three children. the ilit contained a crummey provision for the benefit of each child. at the time of the transfer, the whole life insurance policy was valued at $200,000, and since lori had not made any other taxable gifts during her lifetime, she did not owe any gift tax. lori died in 2016, and the face value of the whole life insurance policy of $2,000,000 was paid to the ilit. regarding this transfer, how much is included in lori’s gross estate at her death?