Redwin Wilchcombe composed, per-formed, and recorded a song called Tha Weedman at the request of Lil Jon, a member of Lil Jon & the East Side Boyz (LJESB), for LJESBs album Kings of Crunk. Wilchcombe...

The Pelican Partnership was formed on August 1 of the current year and admitted Morlan and Merriman as equal partners on that date. The partners both con tributed $300,000 of cash to establish a...

Statham drew a check. The payee indorsed it to Kemp Motor Sales. Statham then stopped payment on the check on the grounds that there was a failure of consideration for the check. Kemp sued Statham on...

Mike purchased four $100 tickets to a fund-raising dinner and dance sponsored by the public library, a qualified charitable organization. In its advertising for the event, the library indicated that...

State X requires that persons who prepare and serve liquor in the form of drinks at commercial establishments be licensed by the state to do so. The only requirement for obtaining a yearly license is...

Moana is a single taxpayer who operates a sole proprietorship. She expects her taxable income next year to be $250,000, of which $200,000 is attributed to her sole proprietorship. Moana is...

Suppose that prior to this lawsuit, the new government of Honduras had enacted a law making it illegal to purchase weapons from foreign arms dealers. What doctrine of deference might lead a U.S....

Immar Medrano was employed as a journeyman electrician by Marshall Electrical Contracting, Inc. (MEC), in Marshall, Missouri. Medrano attended an electrician apprenticeship night class at a community...

From this case, identify: 1. The pressures, opportunities, and rationalizations that led James to commit his fraud. 2. The signs that could signal a possible fraud. 3. Controls or actions that could...

Assume that Lee agrees to the assignment of the house-painting contract to Karen as stated in question 3. Thereafter, Lee fails to perform the contract to paint Karens house. Karen sues Sally for...

Should the Foreign Sovereign Immunities Act (FSIA) preclude this lawsuit? Why or why not? Robco, Inc., was a Florida arms dealer. The armed forces of Honduras contracted to purchase weapons from...

Frank Rodziewicz was driving a Volvo tractor-trailer on Interstate 90 in Lake County, Indiana, when he struck a concrete barrier. His tractor-trailer became stuck on the barrier, and the Indiana...

Stephen Muka owned U.S. Robotics. He hired his brother Chris to work in the company. His letter promised Chris $1 million worth of Robotics stock at the end of one year, provided you work reasonably...

On January 2, Burt asked Logan to loan him money against my diamond ring. Logan agreed to do so. To guard against intervening liens, Logan received permission to file a financing statement, and Burt...

Utility Systems of America, Inc., was doing roadwork when Chad DeRosier, a nearby landowner, asked Utility to dump 1,500 cubic yards of fill onto his property. Utility agreed but exceeded DeRosiers...

Sweeney originally contributed $175,000 in cash for a one-fourth interest in the Gilbert LLC. During the time Sweeney was a member of the LLC, his share of the LLCs income was $90,000 and he withdrew...

Mr. and Mrs. S have the following income items: Mr. Ss Schedule C net profit .$91,320 Mrs. Ss Schedule C net loss .. (7,480) Mrs. Ss taxable pension . 12,300 Mr. Ss self-employment tax was $12,903....

The Brugger Corp. owned a farm, operated by Jason Weimer, who acted as the companys business agent. Tri-Circle, Inc. was a farm equipment company. On behalf of Brugger, Weimer offered to buy from...

After a series of e- mails, Jorge Bonilla, the sole proprietor of a printing company in Uruguay, agreed to buy a used printer from Crystal Graphics Equipment, Inc., in New York. Crystal Graphics,...

Is the SEC an executive agency or an independent regulatory agency? Does it matter to the outcome of this dispute? Explain. Assume that the Securities and Exchange Commission (SEC) has a rule that it...

Premier Building & Development, Inc., entered a listing agreement giving Sunset Gold Realty, LLC, the exclusive right to find a tenant for some commercial property. The terms of the listing agreement...

Richard is an employee of the Dun Construction Corp. While delivering materials to a construction site, he carelessly backs Duns truck into a passenger vehicle driven by Green. This is Richards...

JoKatherine Page and her 14-year-old son Jason were robbed at their banks ATM at 9:30 P.M. one evening by a group of four thugs. The thieves took $300, struck Mrs. Page in the face with a gun, and...

1. ABC Enterprises has created multiple codes of conduct applicable to different groups of employees. Why wouldnt they create just one code of conduct, applicable to everyone in the company? 2. Who,...

After receiving an anonymous note indicating fraudulent activities in the company, XYZ Company officials discover that an employee has embezzled a total of $50,000 over the past year. Unfortunately,...

Madison owned a tract of land, but he was not sure that he had full title to the property. When Rafael expressed an interest in buying the land, Madison sold it to Rafael and executed a quitclaim...

Yun Tung Chow tried to unclog a floor drain in the kitchen of the restaurant where he worked. He used a drain cleaner called Lewis Red Devil Lye that contained crystalline sodium hydroxide. The...

Sally purchased a new computer (5-year property) on June 1, 2016, for $4,000. Sally could use the computer 100% of the time in her business, or she could allow her family to use the computer as well....

Jokan contributes a non-depreciable asset to the Mahali LLC in exchange for a one-fourth (25%) interest in the capital, profits, and losses of the LLC. The asset has an adjusted tax basis to Jokan...

Charles Sanarwari retained Stan Gissel to prepare his income tax return for the year 2006. The parties agreed on a fee of $400. Charles had done a rough estimate based on last years return and...

Merrick grows and sells blueberries. Maine Wild Blueberry Co. agreed to buy all of Merricks crop under a contract that left the price unliquidated. Merrick delivered the berries, but a dispute arose...

Why are owner/operators of small businesses at a disadvantage relative to large corporations when they attempt to decipher complex regulations that apply to their businesses? Whether you end up...

Mark Burnett and Kamran Pourgol were the only shareholders in a corporation that built and sold a house. When the buyers discovered that the house exceeded the amount of square footage allowed by the...

What defense will Ragged Mountain probably assert? Alaina Sweeney went to Ragged Mountain Ski Resort in New Hampshire with a friend. Alaina went snow tubing down a snow-tube run designed exclusively...

1. Suppose that you contract to purchase steel at a fixed price per ton. Before the contract is performed, a lengthy steelworkers strike causes the price of steel to triple from the price specified...

Tammie contracted with Kristine to manufacture, sell, and deliver to Kristine and put in running order a certain machine. Once Tammie had set up the machine and put it in running order, however,...

1. Suppose that Darla tells several of her friends about Irenes instructing the man to take goods without paying for them after the tsunami. If Irene files a tort action against Darla alleging...

In its first year, Camco Inc. generated a $92,000 net operating loss, and it also made a $5,000 cash donation to a local charity. In its second year, Camco generated a $210,600 profit, and it also...

Rogers made a contract with Salisbury Brick Corp. that allowed it to remove earth and sand from land he owned. The contract ran for four years with provision to renew it for additional four-year...

Jason Clark, an experienced hunter, bought a paintball gun. Clark practiced with the gun and knew how to screw in the carbon dioxide cartridge, pump the gun, and use its safety and trigger. Although...

Cohen contracts to sell his house and lot to Windsor for $100,000.The terms of the contract call for Windsor to pay 10 percent of the purchase price as a deposit toward the purchase price, or a down...

In 1997, Bobby Randall was hired at Wal-Mart. At the time, Randall was not a convicted felon but had been previously convicted three times on misdemeanor charges for indecent exposure. At the time of...

Pablo has a $63,000 basis in his partnership interest. On May 9 of the current tax year, the partnership distributes to him, in a proportionate nonliquidating distribution, cash of $25,000, cash...

You are a fraud examiner who has been hired by Bellevue Company to carry out an investigation. Bellevue is a beverage company that has experienced increased shipments of beverages but no increase in...

Summerall Electric Co. and other subcontractors were hired by National Church Services, Inc. (NCS), which was the general contractor on a construction project for the Church of God at Southaven. As...

Melodee Lane Lingerie Co. was a tenant in a building that was protected against fire by a sprinkler and alarm system maintained by the American District Telegraph Co. (ADT). Because of the latters...

Krug International, an Ohio corporation, had a contract with Iraqi Airways to build aeromedical equipment for training pilots. Krug then contracted for Power Engineering, an Iowa corporation, to...

Plaintiff Moseley is an employee of Defendant Pepco Energy Services, Inc. (PES). He has been employed by PES or its corporate predecessors for over twenty- five years. PES, a subsidiary of Defendant...

1. Why did the Iowa Supreme Court rule in favor of the criminal intruder, Katko? 2. What classes of people other than intruders are of concern to the courts in cases like Katko? 3. A businessman in...

After twenty- nine years of marriage, Robert and Mary Lou Tuttle were divorced. They admitted in court that before they were married, they had signed a prenuptial agreement. They agreed that the...

Maria, Pablo, and Vicky are recent college graduates who would like to go into business for themselves. They are considering purchasing a franchise. If they enter into a franchising arrangement, they...

Would Davidson Masonry automatically be taxed as a partnership or a corporation? Marilyn Rowe, decided to submit a bid for a decorative concrete project that incorporated artistic metalwork. They...

Ashley runs a small business in Boulder, Colorado, that makes snow skis. She expects the business to grow substantially over the next three years. Because she is concerned about product liability and...

Sanders gave Clary a check but left the amount incomplete. The check was given as advance payment on the purchase of 100 LT speakers. The amount was left blank because Clary had the right to...

Find the court decision located at 2007-1 USTC 50,210. a. Which court heard the case? b. Who was the judge(s)? c. Which tax year(s) is in question and in what year was the case decided? d. Which...

Sharon Yeagle was an assistant to the vice president of student affairs at Virginia Polytechnic Institute and State University (Virginia Tech). As part of her duties, Yeagle helped students...

The Caplans own a real estate lot, and they contract with Faithful Construction, Inc., to build a house on it for $360,000.The specifications list all plumbing bowls and fixtures . . . to be Crane...

For the government to be a holder, which method must have been used to transfer the instrument from the bank to the government? Robert Durbin, a student, borrowed funds from a bank for his education...

Emerald Corporation, a calendar year and accrual method taxpayer, provides the following information and asks you to prepare Schedule M1 for 2014: Net income per books (after-tax)........ $257,950...

1. What factors in Johnsons control environment have led to and facilitated the managers manipulation of inventory? 2. What pressures did Debbie have to overstate inventory? 3. What rationalization...

How are brand loyalty, specialty goods and services, and prestige pricing related?

When Harriet went away for the summer, Landry, a house painter, painted her house. He had a contract to paint a neighbors house but painted Harriets house by mistake. When Harriet returned from...

Austin Rare Coins, Inc., buys and sells rare coins, bullion, and other precious metals through eight Web sites with different domain names. An unknown individual took control of Austins servers and...

Discuss fully whether either of the following actions would constitute a violation of Title VII of the 1964 Civil Rights Act, as amended. 1. Tennington, Inc., is a consulting firm and has ten...

Senna Hills, Ltd., granted Southern Union Co. the right to distribute propane in a residential subdivision developed by Senna in exchange for a fee. Under their agreement, Sennas right to receive a...

Medistar is a real estate development company specializing in the development of medical facilities. Dr. Schmidt, the team physician for the San Antonio Spurs basketball team, sought to develop The...

In June of this year, Dr. and Mrs. Bret Spencer traveled to Denver to attend a three-day conference sponsored by the American Society of Implant Dentistry. Bret, a practicing oral surgeon,...

Marya Callais, a citizen of Florida, was walking along a busy street in Tallahassee, Florida, when a large crate flew off a passing truck and hit her, causing numerous injuries. She experienced a...

Carriage Way was a real estate development of approximately 80 houses and 132 apartments. The property owners were members of the Carriage Way Property Owners Association. Each year, the association...

Fallsview Glatt Kosher Caterers ran a business that provided travel packages, including food, entertainment, and lectures on religious subjects, to customers during the Passover holiday at a New York...

Duval Ford, LLC, sold a new Ford F-250 pick-up truck to David Sweat. Before taking delivery, Sweat ordered a lift kit to be installed on the truck by a Duval subcontractor. Sweat also replaced the...

ABC Tire Corp. hires Arnez as a traveling salesperson and assigns him a geographic area and time schedule in which to solicit orders and service customers. Arnez is given a company car to use in...

1. Would the name Hallowed receive protection as a trademark or as trade dress? 2. If Trent and Xavier had obtained a business process patent on Hallowed, would the release of Halo 2 infringe on...

BluePeace.org is a new environmental group that has decided that the Internet is the best and most efficient way to spend its time and money to advance its environmental causes. To draw attention to...

Faye, Gary, and Heidi each have a one-third interest in the capital and profits of the FGH Partnership. Each partner had a capital account of $50,000 at the beginning of the tax year. The partnership...

Ricky and Sherry Wilcox hired Esprit Log and Timber Frame Homes to build a log house, which the Wilcoxes intended to sell. They paid Esprit $125,260 for materials and services. They eventually sold...

Jill has recently begun working at a local florist. In addition to creating floral arrangements, Jill spends a good deal of her time talking to customers and ringing up sales. Over time, she...

B. S. International, Ltd. (BSI), makes costume jewelry. JMAM, LLC, is a wholesaler of costume jewelry. JMAM sent BSI a letter with the terms for orders, including the necessary procedure for...

Stephen Hemmerling was a driver for the Happy Cab Co. Hemmerling paid certain fixed expenses and abided by a variety of rules relating to the use of the cab, the hours that could be worked, and the...

Merrill Lynch, the investment firm, hired Elliot Jarvin as Director of Wealth Management Services. His duties included managing a team of 10 wealth managers who advised Merrill Lynch clients...

One afternoon while visiting friends, tennis star Vitas Gerulaitis fell asleep in their pool house. A mechanic had improperly installed the swimming pool heater, which leaked carbon monoxide fumes...

Zoya operated a store in premises rented from Peerless. The lease required Zoya to maintain liability insurance to protect Zoya and Peerless. Caswell entered the store, fell through a trap door, and...

Assume that you are a consultant for Long Range Builders, a company that specializes in the mass production of wood trusses. The trusses are used in the building of houses throughout the United...

David Dobrovolny bought a new Ford F- 350 pickup truck. A year later, the truck spontaneously caught fire in Dobrovolnys driveway. The truck was destroyed, but no other property was damaged, and no...

1. Because the UCC offers special protection to HDCs, innocent makers of notes or drawers of checks in fraudulent transactions often have no legal recourse. From an ethical standpoint, how could you...

Boeing Airplane Co. contracted with PittsburghDes Moines Steel Co. for the latter to construct a supersonic wind tunnel. R.H. Freitag Manufacturing Co. sold materials to York-Gillespie Co., which...

Lawrence loaned money to Moore, who died without repaying the loan. Lawrence claimed that when he mentioned the matter to Moores widow, she promised to pay the debt. She did not pay it, and Lawrence...

1. Although it usually doesnt involve physically stealing money, financial statement fraud is commonly considered the most expensive type of fraud. Why is this true? 2. The Sarbanes-Oxley Act of 2002...

Fox, Dodge, and Gilbey agreed to become limited partners in Palatine Ventures, a limited partnership. In a signed writing each agreed to contribute $20,000. Foxs contribution consisted entirely of...

Victor sells to Bonnie a refrigerator for $600 payable in monthly installments of $30 for twenty months. Bonnie signs a security agreement granting Victor a security interest in the refrigerator. The...

A construction company was sued for harassment when it failed to take seriously the complaints about offensive graffiti scrawled on rented portable toilets. The employer defended by saying (1)...

A. H. Zehmer discussed selling a farm to Lucy. After a 40-minute discussion of the first draft of a contract, Zehmer and his wife, Ida, signed a second draft stating: We hereby agree to sell to W. O....

In 2006, the Russ College of Engineering and Technology of Ohio University announced that an investigation had found rampant and flagrant plagiarism in the theses of mechanical engineering graduate...

David Ungar holds a Dunkin Donuts franchise. The terms of his franchise agreement require him to use only those ingredients furnished by Dunkin Donuts. He is also required to buy it snap kins, cups,...

Kathleen owns 500 shares of Buda Corporation common stock which was purchased on March 20, 1999, for $48,000. On October 10 of the current year, she receives a distribution of 500 stock rights. Each...

(Multiple Choice) 1. Most frauds against organizations are perpetrated by: a. Employees. b. Owners. c. Vendors. d. A collusion of two of the above. 2. What are the three major classes of asset...

Danping Corporation, a calendar year taxpayer, sells lawn furniture through big box stores. It manufactures some of the furniture and imports some from unrelated foreign producers. For tax year 2015,...

Valley Trout Farms ordered fish food from Rangen. Both parties were merchants. The invoice that was sent with the order stated that a specified chargea percentage common in the industrywould be added...

James and Suzanne engaged in the grocery business as partners. In one year they earned considerable money, and at the end of the year they invested a part of the profits in oil land, taking title to...

(Multiple choice) 1. Financial statement fraud is usually committed by: a. Executives. b. Managers. c. Stockholders. d. Outsiders. e. Both a and b. 2. Which officer in a company is most likely to be...