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purpose of the dividends- set outd start oution is to avoid a corporation from introduction taxed on three levels for example if a family gets remunerated a dividend from one of their house servant corporations they argonnt taxed as shareholders, a corporation, and an owner of the corporation. The confederacy has to be an U.S. corporation and they moldiness halt a share of ownership in otherwise domestic corporations. How it works is if the corporation owns less than 20% of the dividend-giving political party they roll in the hay deduct 70% of the dividends they receive out of (E&P). -If the participation owns more(prenominal) than 20%, but less than 80% they enkindle deduct 80% of the dividends. If a company receives a qualified dividend they potbelly deduct 100% of it if they are a member of the aforementioned(prenominal) ownership group. 14-51 - What is the purpose of the reconciliation of taxable income with agree income? - As we talked about in class, yo u would reconcile taxable to platter income because a company take ons to identify permanent and evanescent differences. The differences can be attributed to differing accounting methods cash vs. accrual. The differences between the dickens need to computed in order to understand the reasoning cigaret the difference. 17-1 - grade and briefly describe the seven types of corporate reorganization.

1) nerve A: Statutory merger or consolidation basically take for assets it includes a merger where all the assets and liabilities of one company are taken over by the parent company. 2) epithet B: This is when the one company buys the voting transp! ort from the shareholders and whence basically has ownership in the corporation. 3) Type C: This is when the company a gives all their voting railway line for all of the assets of company b. 4) Type D: This is when company A transfers all their assets to bon gross ton B then Company A distributes all the stock from Company B to Company As shareholders. (spin-off, and a split-up) 5) Type E: This is when a company would exchange stock for stock, bonds for bonds, and bonds for stocks...If you indigence to get a full essay, order it on our website: OrderCustomPaper.com

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