Lead corporation established a new subsidiary and transferred to it assets with a cost of $90,000 and a book value of $75,000. the assets had a fair value of $100,000 at the time of transfer. the transfer will result in
a. a reduction of net assets reported by lead corporation of $90,000.b. a reduction of net assets reported by lead corporation of $75,000.c. no change in the reported net assets of lead corporation. d. an increase in the net assets reported by lead corporation of $25,000.

Imagine you own an established startup with growing profits. you are looking for funding to greatly expand company operations. what method of financing would be best for you?

Acorporation a. can use different depreciation methods for tax and financial reporting purposes b. must use the straight - line depreciation method for tax purposes and double declining depreciation method financial reporting purposes c. must use different depreciation method for tax purposes, but strictly mandated depreciation methods for financial reporting purposes d. can use straight- line depreciation method for tax purposes and macrs depreciation method financial reporting purposes

Adrawback of short-term contracting as an alternative to making a component in-house is thata. it is the most-integrated alternative to performing an activity so the principal company has no control over the agent. b. the supplying firm has no incentive to make any transaction-specific investments to increase performance or quality. c. it fails to allow a long planning period that individual market transactions provide. d. the buying firm cannot demand lower prices due to the lack of a competitive bidding process.