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Alex
3 years ago
12

A client has purchased a nonqualified variable annuity from a commercial insurance company. Before the contract is annuitized, y

our client, currently age 60, withdraws some funds for personal purposes. What is the taxable consequence of this withdrawal to your client?
Business
1 answer:
ruslelena [56]3 years ago
6 0

Answer:

Ordinary income taxation on the earnings withdrawn until reaching the owner's cost basis.

Explanation:

Ordinary income refers to income that is taxed according to the regular U.S. tax brackets and includes many types of income. This includes wages, salaries, tips, and commissions, but excludes long-term capital gains and qualified dividends, both of which are taxed at more favorable rates

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The required resources for implementing a cost leadership strategy include which of the following? Multiple Choice Substantial c
Alchen [17]

Answer:

Available options are:

A) Substantial capital investment and access to capital

B) Strong marketing capability

C) Reputation for high ethical standards.

D) Effective product engineering and innovative design

Answer: A) Substantial capital investment and access to capital

Explanation:

In business strategy, COST LEADERSHIP is establishing a competitive advantage by having the lowest cost of operation in the industry. Cost leadership is often driven by company efficiency, size, scale, scope and cumulative experience (learning curve). ... If so, that company would have a higher than average profitability.

A cost leadership strategy is a company’s plan to become a cost leader in its category or market.

Substantial capital investment and access to capital is a very reliable resources for implementing a cost leadership strategy.

3 0
3 years ago
It is estimated that the maintenance cost on a new car will be $500 the first year. Each subsequent year, this cost is expected
Vsevolod [243]

Answer:

$-8,609

Explanation:

Calculation for How much would you need to set aside

Year Cashflows PVF 5% Present values

1 -500 *0.952381 =-476.19

2 -650(500+150) *0.907029 =-589.569

3 -800(650+150) *0.863838 =-691.07

4 -950(800+150) *0.822702 =-781.567

5 -1100(950+150) *0.783526 =-861.879

6 -1250(1100+150) *0.746215 =-932.769

7 -1400(1250+150) *0.710681 =-994.954

8 -1550(1400+150) *0.676839 =-1049.1

9 -1700(1550+150) *0.644609 =-1095.84

10 -1850(1700+150) *0.613913 =-1135.74

PV=Present value $-8,609

Therefore the amount you will need to set aside is $-8,609

7 0
3 years ago
A family is the basic unit of a consumer sector.<br><br> Question 6 options:<br> True<br> False
aleksklad [387]

Answer:

True

Explanation:

A household is composed for the persons that live inside a house, apartment, or room. it is the basic unit of a consumer or private sector

3 0
3 years ago
Read 2 more answers
Outputs of a purchasing process normally might include all of the following except: __________
Tatiana [17]

Answer: the answer is D

Explanation:

4 0
3 years ago
The term _____ refers to the values and norms that are shared among employees of an organization. environmental factors performa
PtichkaEL [24]
The term organization culture refers to the values and norms that are shared among employees of an organization. Your culture is the values, norms and beliefs you were raised in and believe in. This is also true for a business, they have values and norms that everyone follows when representing the company they work for. 
8 0
3 years ago
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