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bija089 [108]
3 years ago
8

If the tax laws were changed so that $0.50 out of every $1.00 of interest paid by a corporation was allowed as a tax-deductible

expense, this would probably encourage companies to use more debt financing than they presently do, other things held constant. True False
Business
1 answer:
Nastasia [14]3 years ago
5 0

Answer: False

Explanation:

Interest paid by Corporations on debts are already a tax deductible expense. If laws were changed allowing $0.5 out of every $1.00 to be tax deductible, that would mean that $0.5 would still have to be paid tax on. That would mean that Corporations now have to pay more taxes because current tax laws allow for every $1 of interest (100%) to be tax deductible.

It is therefore unlikely that Corporations would borrow more.

If you require any clarification do react or comment.

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DIA [1.3K]
1) 40 x9=360 that’s how much he should have earned. £360 - $332.46 = $27.54 that’s ur answer
3 0
3 years ago
When you are saving money you are: A:gathering B:cutting back C:discounting D:accumulating​
stiv31 [10]

Answer:

accumulating?

Explanation:

3 0
2 years ago
REFLECTION QUESTIONS
telo118 [61]

Answer:

Expenses must be close or above $2000 per month

Explanation:

For a business to operate at a profit, its revenues must exceed the expenses by a sizable proposition. Revenues refer to income from business activities, while expenses are the cost incurred in generating that income. Should the costs match or be higher than the revenue, a business will find it challenging to continue operating.

In this case, the business owner is generating revenues of $2000 per month. If he is struggling to stay open, it means the monthly expenses are around or above $2000. The $2000 that the business is generating per month is not sufficient to cater for all expenses and the desired profits. The business owner is probably making losses, and that why he is having trouble keeping the doors open.

8 0
3 years ago
Which one of the following statements is correct? Multiple Choice a. All of the major stock exchanges are U.S. based. b. The NYS
Anna35 [415]

Answer:

The correct answer is letter "E": The primary purpose of the NYSE is to match buyers with sellers.

Explanation:

The New York Stock Exchange or NYSE is the largest, oldest, and best-known stock exchange in the world where stocks, bonds, and other types of securities are bought and sold. The NYSE requires companies to meet a high standard before the stock can be listed.

4 0
3 years ago
Suppose the Federal Reserve (the Fed) announces that it is raising its target interest rate by 50 basis points, or 0.50%. It wou
Olenka [21]

Answer: decreasing money supply; less; decreases.

Explanation:

When the Federal Reserve wants to increase its target interest rate by 50 basis points, this can be done if the Fed reduces the money supply that is in circulation.

This will in turn, lead to a new equilibrium rate and there will also be a decrease in money in the financial system as there'll be a reduction in the quantity of money demanded.

5 0
2 years ago
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