Answer:
c. divide the net operating income by the capitalization rate.
Explanation:
Income approach assumes that the earnings would be at the capitalization rate. Now, the net operating income is a result of operations and the income would be equivalent to the capitalization rate.
Thus, the net value of the property shall be net operating income/ capitalization rate.
This will calculate the total value of operations for which the business is done.
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Answer:
B. Debit Loss $5,000.
Explanation:
depreciation per year under straigh-line method:
![\frac{cost- salvage}{useful \: life}](https://tex.z-dn.net/?f=%5Cfrac%7Bcost-%20salvage%7D%7Buseful%20%5C%3A%20life%7D)
![\frac{140,000 - 20,000}{6}](https://tex.z-dn.net/?f=%5Cfrac%7B140%2C000%20-%2020%2C000%7D%7B6%7D)
depreciation per year: 20,000
book value at 2019 year-end:
140,000 - 20,000 x 2 = 100,000
disposal value: 95,000
loss for 5,000
loss at diposal: 5,000 debit
cash 95,000 debit
accumulated depreciation 40,000 debit
truck 140,000 credit
Answer:
The correct answer is Community swimming pools.
Explanation:
Taking into account the duties of public entities that are not susceptible of being assigned to individuals, within the three requests only that of community pools can be privatized due to the low relationship they have with the responsibilities of a public entity of this type. The other two requests are of a different nature, and, despite having involvement with other forces or interests, the local government must ensure proper management of public resources that is evident in the citizens.
Answer:
The correct answer is letter "B": pensions have traditionally been set as a fixed nominal dollar amount per year at retirement.
Explanation:
Pensions are retirement plans employees enroll during their working years. There are different types of pensions being the most common the <em>401(k), Individual Retirement Account (IRA), </em>and <em>Roth IRA</em> each one with particular features. What all of them have in common is that they allow retired individuals to receive a fixed stream of income per year after they officially stop working. Therefore, that is the reason why economists call pensions as "<em>defined benefits</em>" plans.