Brad is the president of the Yellow Corporation He and other members of his family control the corporation Brad has a temporary need for $50,000, and the corporation has excess cash He could borrow the money from a bank at 5 , when Yellow is earning 3 on its temporary investments Yellow has made lo...

The following issues are suggested from the facts presented Is the corporation req ...

Brad is the president of the Yellow Corporation. He and other members of his family control the

Question:

Brad is the president of the Yellow He and other members of his family control the Brad has a temporary need for $50,000, and the has excess cash. He could borrow the money from a bank at 5%, when Yellow is earning 3% on its temporary investments. Yellow has made loans to other employees on several occasions. Therefore, Brad is considering borrowing $50,000 from the He will repay the loan principal in two years plus interest at 5%. Identify the relevant tax issues for Brad and Yellow Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...