Answer:
The answer is: B) $3,000 deduction
Explanation:
Tom can make only a $3,000 deduction this year since this loss qualifies as a capital loss. He doesn't have any capital gains to offset this loss. Therefore this year he is limited to make a $3,000 deduction against ordinary income and the remainder must be carried over to subsequent years.
Answer:
$51,164
Explanation:
The project's terminal cash flow is basically the cash flow of the project's last year.
depreciable value = $80,000 + $6,000 - $23,031 = $62,969
depreciation expense per year = $62,969 / 5 = $12,593.80 per year
net cash flow year 5 = [(savings - depreciation expense) x (1 - tax rate)] + depreciation expense + salvage value + recovery of net working capital = [($28,000 - $12,593.80) x (1 - 35%)] + $12,593.80 + $23,031 + $5,525 = $51,163.83 ≈ $51,164
The hindsight bias and overconfidence, plus our eagerness to perceive patterns in random events, can cause tendencies that may lead us to overestimate our intuition. Intuition and intellect are not always accurate, therefore these factors are not trustworthy compared to scientific facts or scientific inquiry which can help us overcome our intuition’s biases and shortcomings.
Answer:
The correct answer is A. A main reason cited by American businesses for outsourcing jobs to other countries is the high cost of labor in the United States.
Explanation:
Outsourcing means separating from the organizational structure of the enterprise some functions performed by them independently and transferring them to other entities for execution. This decentralization process is very evident in American companies that produce manufactured goods, which place the primary production processes in other countries such as China, Mexico or Vietnam, among others, to produce their products at a lower cost, given the lower costs. labor (lower wages, lower taxes, less expensive regulations, etc.).
Answer:
depreciation
Explanation:
Based on the information provided within the question it can be said that the term that is being described in this question is called depreciation. This is the reduction in the value of an asset as time goes by, and is mainly due to the fact that the asset experiences wear and tear and is not in the same condition as it was when it was purchased, therefore there is less demand for it.
