Answer:
(C) $19,776.80
Explanation:
The company will pay taxes for the difference between book value and sale value at disposal:
book value after 2 years:
It will be acquisition less accumulated depreciation, which is the sum of the MACRS depreciation rate for this two years
32,600 (1 - 0.20 - 0.32) = 32,600 x 0.48 = 15,648
sales price: 22,000
taxes: (22,000 - 15,648) x .35
6,352 x 0.35 = 2,223.2
after tax cash flow: 22,000 - 2,223.2 = 19,776.8
Answer:
Dividends for the year $63,000
Explanation:
Phil Graves Cemetery
Jan. 1 Shares issued and outstanding 63,000
June 1 2-for-1 stock split x 2
June 1 Shares issued and outstanding 126,000
Oct. 15 Cash dividend declared (per share)x $ .50
Dividends for the year $63,000
Therefore the amount that Graves should report as dividends is $63,000
Answer:
- 5,000 watches : $150,000 loss
- 20,000 watches: $60,000 (Loss)
- Break-even point = 30,000 units
- if the selling price rises to 32 = break even points descends to 10,588 units
- If the selling price rises to $32 but variable costs rises to $26 , the break even point goes back to 30,000units.
Explanation:
Hi, to answer this question we have to apply the next formula:
Profit = Revenue -cost
Where the revenue is equal to the units sold (x) multiplied by the selling price,
R = 21 x
And cost is equal to the sum of the fixed and variable costs.
C = 15x + 1800
So:
P = 21x-(15x +180,000)
P = x ( 21-15)- 180,000
P = 5000(21-15)-180,000
P = 5000(6) -180,000
P= 30,000-180,000
P=-$150,000 (loss , since is negative )
P = 20,000(6) -180,000
P = 120,000-180,000
P=-$60,000 (Loss)
- To find the break even point:
R = C
21x = 15x + 180,000
21x-15x =180,000
6 x = 180,000
x = 180,000/6
x =30,000 units
- if the selling price rises to 32
32x = 15x + 180,000
32x-15x = 180,000
17x =180,000
x = 180,000/17
x = 10,588 units
It descends,
- If the selling price rises to $32 but variable costs rises to $26
32x = 26x+180,000
32x-26x = 180,000
6x = 180,000
x = 180,000/6
x =30,000
The break-even point comes back to 30,000 units.
Answer:
c. a decrease in the wage rate of accountants
Explanation:
As a result of the revision that makes personal tax returns much easier to complete, people would no longer need the services of accountants to calculate their tax returns. As a result, the demand for accountants would fall, all other things remaining equal.
The fall in demand would lead to a fall in wage rate of accountants
Please check the attached image for a graph explaining this concept
Answer:
you are able to make better informed decisions
Explanation:
by being well informed on a product you are able to make decisions and see potential problems ahead of the actual problem
