Dennis contributed business assets to a new business in exchange for stock in the company. the exchange did not qualify as a tax-deferred exchange. the fair market value of these assets was $370,000 on the contribution date. dennis’s original basis in the assets he contributed was $218,000, and the accumulated depreciation on the assets was $136,500. what is the business's basis in the assets it received from dennis? what would be the business's basis if the transaction qualified as a tax-deferred exchange?

Double corporation acquired all of the common stock of simple company for

Oerstman, inc. uses a standard costing system and develops its overhead rates from the current annual budget.the budget is based on an expected annual output of 120,000 units requiring 480,000 direct labor hours.(practical capacity is 500,000 hours)annual budgeted overhead costs total $772,800, of which $556,800 is fixed overhead.a total of 119,300 units, using 478,000 direct labor hours, were produced during the year.actual variable overhead costs for the year were $260,400 and actual fixed overhead costs were $555,450.required: 1. compute the fixed overhead spending variance and indicate if favorable or unfavorable.2. compute the fixed overhead volume variance and indicate if favorable or unfavorable.

Banana computers has decided to procure processing chips required for its laptops from external suppliers instead of manufacturing them in their own facilities. how will this decision affect the firm? a. the firm will be protected against the principal-agent problem. b. the firm's administrative costs will be low because of necessary bureaucracy. c. the firm will have more flexibility in purchasing and comparing prices of goods and services. d. the firm will have high-powered incentives, such as hourly wages and salaries.