Deck 35 Flashcards Preview

Regulation > Deck 35 > Flashcards

Flashcards in Deck 35 Deck (25):
1

Sherman Act

prohibits restraints of trade and monopolies

2

Tying arrangements

Must buy one product to get another

3

Congolomerate Merger

Merger between those in different businesses (this is okay)

4

Robinson-Patman Act

Strengthens section 2 of the Clayton Act that prohibited price discrimination

5

A warehouser is liable for loss of stored goods on a showing of:

Ordinary negligence

6

Under a nonnegotiable bill of lading, a carrier who accepts goods for shipment must deliver the goods to:

The consignee of the bill of lading

7

Bailee

The issuer of a document of title (UPS or warehouse man)

8

Consignee

Party named on the document

9

Bearer documents...goods must be

Delivered only to the party possessing the document

10

Order documents... goods must be

Delivered and endorsed

11

The Volker Rule

3% limit in risky assets

12

Orderly Liquidation Authority covers what kind of institutions?

Financial Institutions (banks, insurance companies, and securities companies)

13

Scholarships are taxable if they are used for:

Room and board (nontaxable for books and tuition)

14

Calculation of net earnings from self-employment =

.9235 x total amount of self-employment income

15

Contributing services to a partnership should be recorded at:

FMV as ordinary income

16

Marketable securities are what kind of assets?

Capital assets

17

What kind of deduction is a business gift?

Unreimbursed business expense (itemized deduction)

18

Medical insurance premiums are what kind of deduction?

Deduction from AGI (itemized)

19

Penalties on early withdrawal of savings is what kind of deduction?

Adjustment for AGI

20

Deduction for federal income taxes paid?

No deduction (not included in gross income)

21

Medical expenses in excess of 10% of AGI

Itemized deduction

22

When a corporation assumes a recourse liability, how does that affect the shareholders basis?

Subtract the shareholders basis

23

REalized gain =

FMV - adjusted basis

24

Corporation's basis =

Usually shareholders carryover basis (add cash paid to the shareholder)

25

Shareholders basis =

Adjusted basis + gain recognized - boot received