Answer:
The minimum number of years that Lloyd must remain a member of the ADLA so that the lifetime membership is cheaper (on a present value basis) than paying the annual membership dues is 23 years.
Explanation:
The question is incomplete.
<em>Lloyd is a divorce attorney who practices law in Florida. He wants to join the American Divorce Lawyers Association (ADLA), a professional organization for divorce attorneys. The membership dues for the ADLA are $600 per year and must be paid at the beginning of each year. For instance, membership dues for the first year are paid today, and dues for the second year are payable one year from today. However, the ADLA also has an option for members to buy a lifetime membership today for $6,500 and never have to pay annual membership dues. Obviously, the lifetime membership isn't a good deal if you only remain a member for a couple of years, but if you remain a member for 40 years, it's a great deal. Suppose that the appropriate annual interest rate is 7.4%. What is the minimum number of years that Lloyd must remain a member of the ADLA so that the lifetime membership is cheaper (on a present value basis) than paying $600 in annual membership dues?</em>
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We have to equal the price of the lifetime membership with the present value of the annual membership. The anual membership present value is equal to a annuityof n years.
Answer:
If a tax cut of $12 billion causes real GDP to increase by $36 billion, then the tax multiplier is:________.
b) 3.
Explanation:
The tax multiplier is the effect of tax on aggregate demand, government spending, and industrial investment (GDP). A tax cut increases the marginal propensity to consume and to save, which in their turns increase the aggregate demand and investments, which are important ingredients in the calculation of a country's Gross Domestic Product (GDP). A tax cut also decreases government's ability to spend, which also affects the GDP negatively. It has been established that to stimulate GDP growth, economies have relied on cutting taxes at some times.
The proportion of the tax cut to the GDP is 12: 36 in this case equals 1 : 3, therefore, the tax multiplier is 3.
Answer:
(a) March 12, 2017
(b) Recognized gain = $15,000
(c) Adjusted basis = $450,000
(d) Recognized gain = $175,000
Mitchell basis = $625000
Explanation:
(a) March 12, 2017 is the earliest Mitchell can acquire a new restaurant and qualify for § 1033 postponement
(b) Assuming that he elects postponement of gain under § 1033, the recognized gain is calculated as;
Recognized gain = Award received - cost of land
=$625000 - $610,000
= $15,000
(c) From the question, Mitchell's adjusted basis for the new land and building is $450,000
(d) If Mitchell does not elect § 1033, his recognized gain is calculated as;
Recognized gain = Award received- adjusted basis for the building
=$625,000 - $450,000
=$175,000
Also,Mitchell basis for the new land and building is $625000
Answer:
A. private-purpose trust, investment trust, pension trust and agency funds.
Explanation:
Because fiduciary funds means the funds used to account for assets held by a district board of education in a trustee capacity or agency capacity for others.
BEST CHOICE!!!!!
100% CORRECT.
the right answer is TRUE, i got it wrong for putting it as false
