1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Ymorist [56]
3 years ago
6

is year, Amy purchased a personal residence at a cost of $1,000,000. She borrowed $800,000 secured by the home to make the purch

ase. This year, she paid interest expense on this mortgage of $12,000. How much may she deduct?
Business
1 answer:
Irina18 [472]3 years ago
3 0

Answer:

 Deductible Interest is $11,250

Explanation:

Compute at the amount of $750,000 the interest Amy could deduct as follows:

Since the interest on loan secured by home could be deduct on the first $750,000 borrowing amount. Hence,

 Deductible Interest = Interest Paid × ($750,000 / Loan Secured by income)

 Deductible Interest = $12,000 × ($750,000 / $800,000)

 Deductible Interest = $11,250

Hence, the Amy could deduct interest on borrowing $11,250

You might be interested in
A good rule of thumb is to spend no more than __% of your monthly gross income on rent. 20 25 30 40
Alexxandr [17]
45% of your monthly come on rent
7 0
3 years ago
The _________ strategy involves a firm using different marketing mix activities to help consumers perceive the product as being
nadezda [96]

Answer:

product differentiation

Explanation:

A product differentiation strategy focuses on distinguishing your company's products or services from the competition. The company must add meaningful and valued differences that will distinguish our product or service in order for our customers to view them as different or better. The goal of a differentiation strategy is to gain a competitive advantage since customers associate differentiated products to higher quality products.

7 0
3 years ago
From theory, what are some communication channels and barriers? Now from professional experiences, what are some communication c
Ira Lisetskai [31]

Answer:

Communication channels are the channels with which information are passed from one to person to another. Messages and ideas are exchanged using these channels to complete the communication process.

Explanation:

Types of communication channels are:

Email

Social media

TelephoneTelevision

Radio

Face-to-face communication

Oral and written communication

Verbal and non-verbal communication.

Communication can be through the use of words or without words, such as the use of signs and gestures. Communication can take place physical and otherwise.

Barriers in communication this are the things that create disturbances in sent messages and thereby causing a misunderstanding between the sender and receiver.

Barriers are:

Poor communication skills: when an individual communication skill is weak, such individual lacks the confidence to communicate effectively in front of others.

Noise disturbance: Noise disturbance is a barrier that hampers the clarity of a message.

Language barriers: The language barrier occurs when there is diversity in an organization workforce. languages or accents differ fromLanguage to language same as cultures.

Perception differences: This occurs when the senders point of view and receivers doesn’t match up which results in lack of understanding.

Wrong pronunciation of words and poor usage of vocabulary: By not pronouncing words accurately and correctly, wrong message might be passed.

the communication channels in a professional settings are:

Formal communication: the use of written letters and e-mails to colleagues, senior management, or the exchange of thoughts through official presentations before board members.

Informal communication: this kind of message channel exist between acquittances people we are familiar with. Any style and words not suitable in formal communication mode can be used here.

Barriers at the professional level are:

Organizational Hierarchy: due to the long chain of hierarchy or it passes through this alters the original message.

Lack of knowledge of non-verbal communication: Body language, gestures and postures are essential factors of communication as a wrong gestures and postures communicate false messages.

Low confidence level: For am individual to be able face a crowd and pass effective communication he needs his confidence level high.

Clarity in the message: The message been passed must be clear, concise and simple. Free of grammatical and spelling errors.

High confidence level: a confident speakers communicates easily, which his message easy to grasp and understand.

Feedback: for a communication process to be complete the receiver must give a feedback.

Good communication skills:

1. Practicing like they say practice makes perfect.

2. Proper pronunciation of words.

6 0
3 years ago
ABC Inc. just paid a dividend of $1.00 this year. The stock price is $15.43 currently. The market risk premium is 15% and the ri
mariarad [96]

Answer:

Price lowers and becomes negative or -5.37 dollars

Explanation:

Market risk premium's formula could be written as dividends/price + dividend's growth rate. Therefore, we dividend growth rate according to the current price and dividend level equal to market risk premium - dividends/price or 0.15 - 1/15.43 = 0.086 or 8.6%. If the dividend growth rate rises by 25% than new one is 33.6%. Price is equal to dividends/market risk premium - dividend growth rate or in this case 1/0.15-0.336 or 1/-0.186 or -5.37 dollars. If the price is negative that would mean that any future selling of the stock would mean that ABC would have to pay in order to sell it.

4 0
3 years ago
Indigo Company invests $11,700,000 in 4% fixed rate corporate bonds on January 1, 2020. All the bonds are classified as availabl
IceJOKER [234]

Answer:

a. Indigo do not elect fair value option

                   Journal entries

Date               Description                                       DR                    CR

2020

Jan 1                Bonds-available for sale asset    $11,700,000

                       Cash book                                                            11,700,000

             <em>Being the amount paid on acquisition </em>

Dec 31

                 Interest receivable (4%*11,700,000)    468,000

                 Income statement                                                     468,000

        <em> Being the interest due on the bond at the year end </em>

<em />

<em>b. </em> Indigo elect the fair value option

 Date               Description                                      DR                   CR

 2020

Jan 1              Bond-available for sale asset     11,700,000

                       cash book                                                      11,700,000

                Being the amount paid on acquisition

Dec 31         Interest receivable                             468,000

                  Income statement                                                  468,000

             Being the interest due on the bond at the year end

Dec 31           Bond                                                    687,000

                   Revaluation surplus                                                687,000

              Being the excess of fair value over the book value

Explanation:

3 0
3 years ago
Other questions:
  • What caused the unintended consequence of "there's no such thing as shovel-ready projects?"
    11·1 answer
  • Week 5 Rachel is a financial investor who actively buys and sells in the securities market. Now she has a portfolio of all blue
    13·1 answer
  • An equipment costing $60,000 is being evaluated for a production process at Don Jones Co. The expected benefits per year is $4,5
    6·1 answer
  • In a monopoly market, Select one: a. other firms have no incentive to enter the market. b. profits will always be positive becau
    8·1 answer
  • Prior to entering the Eastern European markets, Procter &amp; Gamble assessed the strengths and weaknesses of possible competito
    6·1 answer
  • Which response might be an answer to a fundamental question of economics of who should produce? A. The cost of a car will be abo
    14·1 answer
  • Outdoor Adventures, Inc. operates a chain of very large stores that offer an incredible selection of sporting goods at very comp
    13·1 answer
  • The project represented by this resource load chart has a maximum limit of 6 units of resource activity in any day. The first ac
    13·1 answer
  • What is global standardization strategy​
    13·1 answer
  • Which of these is a criterion used to select a target market segment?
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!