Answer:
a. How much will Ruby’s IRA be worth when she needs to start withdrawing money from it when she retires?
the future value of Ruby's IRA = $10,000 x 21.725 (FV factor, 8%, 40 periods) = $217,250
b. How much money will she have to accumulate in her company’s 401(k) plan over the next 40 years in order to reach her retirement income goal?
she needs to accumulate $875,000 - $217,250 = $657,750 during the next 40 years
the annual contribution = FV / FV annuity factor = $657,750 / 259.057 (FV annuity factor, 8%, 40 periods) = $2,539.02 per year
The answer is $809. There are 52 weeks in a year, so $42,068/52 = $809.
Answer:
a. $44.44
Explanation:
The amortization will be allowed for 10 months in the year (March-December) as the return is filed on a calendar year basis. The deduction allowed per month $4.44 ($800 / 180).
The maximum allowable deduction for amortization of organizational expenditures in the current year is $44.44 ($4.44*10 months).
Answer:
Explanation:
Let the appraisal value be p.
.90 p = 220000
p = 220000 / .9
= 2,44,444
cash down payment = .1 x 244444
= 24444
Price of the house = 1.05 x 244444 ( 5% more than appraisal value )
= 256666.
Answer:
November 1 Inventory 52 units at $79
November 10 Sale 35 units
- COGS = 35 x $79 = $2,765
- Inventory balance = 17 x $79 = $1,343
November 15 Purchase 27 units at $83
November 20 Sale 25 units
- COGS = (17 x $79) + (3 x $83) = $1,592
- Inventory balance = (24 x $83) = $1,992
November 24 Sale 13 units
- COGS = 13 x $83 = $1,079
- Inventory balance = 11 x $83 = $913
November 30 Purchase 39 units at $86
- Inventory balance = $913 + (39 x $86) = $4,267
