On January 1,2018,Dunbar Echo Co

question 298

Multiple Choice

On January 1,2018,Dunbar Echo Co.sells a machine for $46,000.The machine was originally purchased on January 1,2016 for $80,000.The machine was estimated to have a useful life of 5 years and a residual value of $0.Dunbar Echo uses straight-line depreciation.In recording this transaction:

• A)a loss of $2,000 would be recorded.
• B)a gain of $2,000 would be recorded.
• C)a loss of $34,000 would be recorded.
• D)a gain of $46,000 would be recorded.

Differentiate between stakeholders and shareholders and their roles in corporate governance.

Acknowledge organizational barriers to ethical behavior and whistleblowing.

Understand the difference between direct and indirect real estate investments.

Identify the various types of real estate investment trusts (REITs) and their characteristics.

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Definitions:

Corporate Assets

Resources owned by a corporation, including physical properties, intellectual property, and financial assets, which are used to operate the business.

Preemptive Right

The right of existing shareholders to purchase additional shares in a company before they are offered to the public, often to maintain their percentage of ownership.

Statutory Close Corporation

A type of corporation characterized by a limited number of shareholders, less formal operating and corporate governance structures, and restrictions on the transfer of shares, as defined by statute.

MBCA

Stands for the Model Business Corporation Act, which provides a template for state laws regulating corporations.