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Molodets [167]
3 years ago
5

In 2014, Iris King bought a diamond necklace for her own use, at a cost of $10,000. In 2019, when the fair market value was $12,

000, Iris gave this necklace to her daughter, Ruth. No gift tax was due. This diamond necklace is a _________
Business
1 answer:
Ivanshal [37]3 years ago
7 0

Answer:

Capital asset

Explanation:

Capital asset are classified as the  property which are expected to generate some value over the duration of time.

Capital assets includes,

Buildings

Computer equipment

Jewelry

Machinery, and vehicles etc.

The capital assets has an expected useful life of more than one year

It can be sold as a normal part of business operations.

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Under the uniform capitalization rules applicable to taxpayers with property acquired for resale, which of the following costs s
pashok25 [27]

Answer:

The correct answer is A

Explanation:

As per the UNICAP (stands for Uniform Capitalization) rules, the person have to capitalize the cost for creating the assets, which means or defines as to capitalize the raw materials, labor cost and other indirect as well as direct costs that is attributable to the production of the assets.

So, the costs which is to be capitalized in respect to inventory are the repacking cost, which is involved in the indirect supplies and other materials and the off site storage cost is involves in the rental of the facilities and equipment.

6 0
3 years ago
Kodak possesses the leading imaging technology. This technology has allowed the company to differentiate its products from those
pav-90 [236]

Answer:

The correct option is C

Explanation:

Distinctive competency is the competency which is unique or differentiate to the business firm or organization. It is a competency superior in aspect rather than the competencies of other firms, that enables the production of the unique value proposition in the business function.

So, Kodak posses the technology of leading imaging and this technology allow the company to differentiate its products from rivals. Therefore, this technology of Kodak is distinctive competency.

7 0
3 years ago
The common stock of Detroit Engines has a beta of 1.34 and a standard deviation of 11.4 percent. The market rate of return is 11
stealth61 [152]

Answer:

The firm's cost of equity is C. 14.05 percent

Explanation:

Hi, we need to use the following formula in order to find the cost of equity of this firm.

r(e)=rf+beta(rm-rf)

Where:

r(e) = Cost of equity

rf = risk free rate

rm = Market rate of return

Everything should look like this.

r(e)=0.04+1.34(0.115-0.04)=0.1405

So, this firm´s cost of equity is 14.05%

Best of luck

6 0
3 years ago
Amelie decides to offer one of her subordinates, Jason, his pick of tasks on a new project in exchange for his vocal support of
LUCKY_DIMON [66]
The Final answer is c yes
7 0
3 years ago
Clear Waters Snorkeling Equipment Company has had major losses for the last few years. U.S. Representative Snow has introduced a
Maslowich

Answer:

C. II only

Explanation:

8 0
3 years ago
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