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iragen [17]
3 years ago
8

What effect would a tax increase have on income

Business
2 answers:
trasher [3.6K]3 years ago
7 0
The Answer is D. It would not affect gross income. Gross income is the total amount of income you gain before expenses are taken away.
balu736 [363]3 years ago
3 0

Answer: It would not affect gross income

Explanation:

Gross income is known to be the total salary which an employee receive for work done before subtracting deductions from the employers of labour.  

Tax is known to be the amount of money levied or charged on individual’s income or properties by the government.

Income is the amount of money which an employee receive or get for work done from the employers of labour.

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Which of the following competitors mentioned in the textbook should the owner of a Wendy's restaurant monitor closely due to its
soldier1979 [14.2K]

Answer:

D) Five Guys Burgers

Explanation:

Five Guys Burgers is the fastest growing fast food chain in the US, although that can be explained due to its relatively small size compared to other huge chains like McDonald's, Burger King or Wendy's. It currently operates 1,500 restaurants around the world (most in the US) and plans to open 1,500 more in the next few years.

Its greatest advantage is that is offers a differentiated service and its relative small size allows it to be more flexible. Its website also gets a lot of online traffic.

The combination of all these factors means that they have a lot of potential to grow and gain a higher market share.

5 0
3 years ago
The common stock of Serenity Homescapes has a beta of 1.21 and a standard deviation of 17.8 percent. The market rate of return i
3241004551 [841]

Considering the available information in the question, the <u>cost of equity</u> for this firm is "<u>0.1566</u>."

The <u>cost of equity</u> for the firm is expressed below:

RE = Rf + β × ( E (RM) − Rf );

Here, the RE is the

Rf => risk-free => 3.2 percent;

β => beta => 1.21;

E (RM) => market rate of return => 13.5 percent;

Thus, we have the following formula to compute:

RE = 0.032 + 1.21 × (0.135 − 0.032)

RE =<u> </u><u>0.1566</u>

Cost of equity is a term that is used I'm describing the rate of return firms need for business investment.

In another way, the Cost of equity depicts the rate of return that an individual needs for an equity investment.

Hence, in this case, it is concluded that the correct answer is "<u>0.1566</u>."

Learn more here: brainly.com/question/24242733

6 0
2 years ago
Cape Corp. will pay a dividend of $3.60 next year. The company has stated that it will maintain a constant growth rate of 5 perc
victus00 [196]

Answer:

$30

Explanation:

according to the constant dividend growth model

price = d1 / (r - g)

d1 = next dividend to be paid

r = cost of equity

g = growth rate

$3.6 / (0.17 - 0.05)

$3.60 / 0.12  = $30

6 0
2 years ago
A private not-for-profit entity receives three large cash donations: One gift of $71,000 is restricted by the donor so that it c
Masteriza [31]

Answer: $294,000

Explanation:

Gift of $71,000 is <u>time restricted</u> as it cannot be spent for 4 years.

Gift of $91,000 is <u>purpose restricted</u> as it must be used for the purpose of salaries.

Gift of $121,000 is <u>permanently restricted</u> as it must be held forever.

Income earned from the above gift of $11,000 is <u>purpose restricted</u> for needy families.

The gifts with donor restrictions total:

= 71,000 + 91,000 + 121,000 + 11,000

= $294,000

3 0
3 years ago
Granfield Company is considering eliminating its backpack division, which reported an operating loss for the recent year of $42,
maxonik [38]

Find the given attachment

8 0
3 years ago
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