It seems that you missed the given choices for this question. But the answer that would complete the given statement above is LIMITED LIABILITY COMPANY. A limited liability company <span>maintains limited liability, but offers more flexibility in terms of tax treatment than other forms of business ownership. Here are the other options: Sole Proprietorship, corporation and limited liability partnership. </span>
Answer:
False
Explanation:
The after cost of debt is always lower than the before tax cost of debt. For example, a company borrows $1,000,000 and pays 7% interest per year. This results in $70,000 in interest expense before taxes = $1,000,000 x 7% = $70,000.
The after tax cost of the debt = $1,000,000 x 7% x (1 - tax rate) = $1,000,000 x 7% x (1 - 21%) = $1,000,000 x 7% x 0.79 = $55,300
Answer:
D.Cash 1,274 Sales Discount 26 Accounts Receivable 1,300
Explanation:
The journal entry is shown below:
Cash A/c Dr $1,274
Sales Discount A/c Dr $26
To Accounts receivable $1,300
(Being cash received recorded)
The computation of the account receivable
= Credit sales - returned goods
= $1,800 - $500
= $1,300
And, the discount would be
= Accounts receivable × percentage given
= $1,300 × 2%
= $26
The remaining amount would be credited to the cash account.
Answer: D. $600 included in Ned's medical expenses
Explanation:
The amount that Ned can include in his itemized deductions will be the $600 that's included in Ned's medical expenses.
It should be noted that the medical expenses will be under the itemized deductions. On the other hand, the other options will be under the miscellaneous itemized deductions. Therefore, the correct option is D.
Answer:
$27,400 and $59,600
Explanation:
The computation of the depreciation expense and the book value using the sum of-the-years'-digits method is shown below:
Depreciation expense is
= (Purchase cost - residual value) × useful life ÷ sum of years
= ($87,000 - $4,800) × 5 years ÷ (5 + 4 + 3 + 2 + 1)
= $27,400
And, the book value is
= Purchase cost - depreciation expense
= $87,000 - $27,400
= $59,600
