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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Ordinary income taxation on the earnings withdrawn until reaching the owner's cost basis.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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On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $27,000 and giving a short-term note for
crimeas [40]

Answer:

$306,835

Explanation:

Data provided

Legal fees paid = $2,435

Delinquent taxes = $15,100

Fees paid to remove old building = $19,400

Material salvage sold = $4,100

The computation of the cost of the land to be reported on the balance sheet is below:-

Amount paid to acquire adjacent lot = $27,000 + $247,000

= $274,000

Total cost of land = Amount paid to acquire adjacent lot + Legal fees paid + Fees paid to remove old building - Material salvage sold

= $274,000 + $2,435 + $15,100  + $19,400  - $4,100

= $306,835

5 0
3 years ago
Paid personal communication that seeks to inform customers and persuade them to purchase products in an exchange situation is
Mashutka [201]

Paid personal communication that seeks to inform customers and persuade them to purchase products in an exchange situation is Personal selling.

What is personal selling?

  • In order to influence a customer's buying choice, personal selling is a personalized sales technique that involves direct communication between a sales representative and potential customers.
  • Globalization, the rise of the internet, and the emergence of social media, however, have made personal selling only one of many selling and marketing strategies.
  • The selling strategy might not be as popular as it once was. Yet there are so many businesses that significantly rely on this approach to selling.

What are the objectives of personal selling?

  • Building strong, long-lasting relationships with consumers.
  • Boosting demand for the offering.
  • Increasing sales.
  • Supporting the customers.

Learn more about the personal selling with the help of the given link:

brainly.com/question/18240042

#SPJ4

8 0
1 year ago
3. Claudia Aceves borrowed $845,000 from U.S. Bank to buy a home. Less than two years into the loan, she could no longer afford
Pavlova-9 [17]

Answer:

Yeah, her argument will be good in Aceves. The further explanation is given below.

Explanation:

The promissory clause applies to just the requirement that although no attorney seems to be legal, a commitment is actionable. This happens whenever the Promiser already made that commitment to something like the Promisee who performs mostly on commitment.

  • Aceves having operated throughout the specific situation mostly on the foundation of the Bank's commitment or withdrew its complaint. Therefore in this circumstance, the essential requirement that perhaps the promisee would have focused mostly on promiser is accomplished.
  • Consecration of promise to pay estoppels is founded on either the ideals of equity as well as justice. The lender's action was unreasonable to Aceves and because of that, the premise would be effective on either the bank as to when the applicant was working on a pledge basis. Thus Aceves will be accurate in her argument.

8 0
3 years ago
An individual taxpayer is selling her principal residence, which she has owned for ten years and lived in for nine years. What s
avanturin [10]

Answer:

Section 121 exclusion

Explanation:

In simple words, IRC section 121 requires a person to deduct up to $250,000 ($500,000 for dual filers) of profit from the selling (or exchange) of land that was purchased and utilized as a primary home for at minimum two of that five years preceding the sale. Thus, from the above explanation we can conclude that the correct answer is section 121 exclusion.

7 0
3 years ago
What is development​
Taya2010 [7]
The process of developing or being developed.
8 0
3 years ago
Read 2 more answers
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