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2 years ago

How should disability payments, which are non-taxable, be analyzed in order to fairly calculate the customer’s ability to pay?.

1 answer:

5 0

In order to calculate a customer's ability to pay, disability payments shall be analyzed by creating an income or a debt ratio.

<h3>What are disability payments?</h3>

A payment which is received by an individual on account of not being able to work or provide his services due to the illness, or any medical conditions as such, is known as a disability payment.

The disability payments are non-taxable, which means that a person is not liable to pay taxes over the income made through disability payments during the taxable year.

Hence, the significance of disability payments is given above.

Learn more about disability payments here:

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On June 10, Concord Corporation purchased $8,050 of merchandise on account from Sarasota Company, FOB shipping point, terms 1/10

mariarad [96]

Explanation:

The journal entries are as follows in the books of Concord Corporation

On June 10

Merchandise inventory A/c Dr $8,050

To Account payable A/c $8,050

(Being the inventory is purchased on account)

On June 11

Merchandise inventory A/c Dr $510

To Cash A/c $510

(Being freight is paid by cash)

On June 12

Accounts payable A/c Dr $450

To Merchandise Inventory A/c $450

(Being goods returned is recorded)

On June 19

Accounts payable A/c Dr $7,600 ($8,050 - $450)

To Cash A/c $7,524 ($7,600 × 1%)

To Merchandise Inventory A/c $76

(Being payment is recorded)

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3 years ago

Why do some auto insurance customers want medical coverage for their

velikii [3]

9514 1404 393

Answer:

C. To avoid having to pay for hospital bills resulting from an accident they cause

Explanation:

The purpose of any sort of insurance is to limit or eliminate the policy-holder's liability. Medical insurance in an auto policy pays for medical bills the policy-holder might otherwise be liable for as a consequence of an auto accident.

4 0

3 years ago

A 10-year annual payment corporate bond has a market price of $1,050. It pays annual interest of $100 and its required rate of r

bija089 [108]

Answer:

bond under priced is $14.18

Explanation:

given data

market price = $1,050

annual interest = $100

rate of return = 9 percent

time period = 10 year

solution

we get here bond mis priced so for we get first theoretical Price of the bond that is

theoretical Price of the bond = annual interest × $\frac{1- (1+r)^{-t }}{r}$ + $\frac{1000}{(1+r)^t}$ ........1

theoretical Price of the bond = 100 × $\frac{1- (1+0.09)^t }{-10}$ + $\frac{1000}{(1+0.09)^{10}}$

theoretical Price of the bond = $1064.18

but actual Price is $1050

so here bond is under priced as $1064.18 - $1050

bond under priced is $14.18

6 0

3 years ago

Many people believe that pure monopolies charge any price they want to without affecting sales. Instead, the output level for a

irga5000 [103]

Answer: Option (d) is correct.

Explanation:

Correct Option: Marginal revenue equals marginal cost.

Pure monopoly is a market situation in which there is a single firm who are producing the goods and these goods are the close substitute. There is no other firm in the market. So, the monopoly firm is the price setter.

The output level that is produced by the profit maximizing monopoly firm is at a point where marginal revenue is equal to the marginal cost. It is the same profit maximizing condition that a competitive firm also utilize to find their equilibrium level of output.

3 0

3 years ago

Direct materials $3,193

crimeas [40]

Answer:

correct option is a. $5,935

Explanation:

given data

Direct materials = $3,193

Direct labor hours = 21

Direct labor wage rate = $12

Machine hours = 166

overhead rate = $15

solution

we get Direct labor that is

Direct labor = 21 × $12

Direct labor = 252

and

manufacturing overhead is

manufacturing overhead = 166 × $15

manufacturing overhead = 2490

so here total cost will be

total cost = Direct materials + Direct labor + manufacturing overhead ............1

Total cost = $3,193 + $252 + $2490

Total cost = $5935

so correct option is a. $5,935

8 0

3 years ago

Read 2 more answers