Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. tony owns 100% of tnt's common stock. tony, the pr

Tony owns 100% of TNT's common stock. Tony, the president of TNT, is a cash...

90.2K

Verified Solution

Question

Accounting

Tony owns 100% of TNT's common stock. Tony, the president of TNT, is a cash basis taxpayer while TNT is an accrual basis taxpayer. On December 31, 20X1, TNT accrues a bonus payable for 20X1 to Tony of $25,000. TNT pays the $25,000 bonus to Tony on January 2, 20X2. What is the proper characterization of TNT's deduction.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Finance
1.2K views

Sukhum, Inc. Balance Sheet as of December 31, for 2001 and 2002 Assets 2001 2002 Liabilities and equity 2001 2002 Current liabilities Accounts payable $210 $210 Current...

General Management
1.2K views

Critique the following statement: "A low cost strategy is not effective because it is too easily...

Biology
1.2K views

the specific humidity mixing ratio is 5 2 g kg and the temperature is 10...

Biology
1.2K views

Which of the following represents the merits of offshoring A Improved quality B Lack of...

Biology
1.2K views

The purpose of a good research or guiding question is what Select ALL that apply...

Physics
1.2K views

A non conducting ring is of radius 0 5 m 1 11 x 10 10...

Algebra
1.2K views

3 8 9 13 16 23 29 33 39 Question 34 1 point Listen C...

Algebra
1.2K views

1 Name a pair of similar triangles and use calculations to explain why they are...

Accounting
1.2K views

4. Since its introduction, activity-based costing (ABC) has evolved in various ways. In...

Accounting
1.2K views

1. When a seller allows a buyer an amount for old equipment traded in for...

Accounting
1.2K views

Computer Wholesalers restores and resells notebook computers. It originally acquires the notebook computers from corporations...

Accounting
1.2K views

Journal entry worksheet