Answer:
not taxed
Explanation:
original issue discount which are new issue municipal bonds do not have their interest income taxed at the federal level by the IRS. An investor that purchases the municipal bond from the secondary market however would be accreted and have his income from the bond treated as ordinary income and would be taxed. But interest from original issue discount bonds are not taxed and are also not taxed when held to maturity
Answer:
a. $8.0 million; $1.22 million
Explanation:
The computation is shown below:
As we know that
Basic earnings power = EBIT ÷ total assets
So,
EBIT = Basic earnings power × total assets
= 0.20 × 40 million
= $8 million
Now
Times interest earned = EBIT ÷ interest expense
So,
Interest expense = EBIT ÷ Times interest earned
= $8 million ÷ 6.55
= $1.22 million
Answer:
60,120 units
Explanation:
The computation of the production units is shown below:
Production units = Projected sales units + ending inventory units - beginning inventory units
= 58,900 machines + 7,310 units - 6,090 units
= 60,120 units
We simply added the ending inventory units and deduct the beginning inventory units to the projected sales units so that the correct amount could come
Answer: A - Can show if the economy is growing or shrinking
Explanation: i got it right on EDG 2020
