Answer:
Allison can maximize her tax benefits by taking the Lifetime Learning Credit which results in a $300 tax credit.
Explanation:
Education credit:
Allison doesn't qualify for the American Opportunity Tax Credit (AOTC) since that only covers the first four years of college and even if she never attended college before, she would need to be enrolled at least half time.
She qualifies for the Lifetime Learning Credit (LLC) but it only covers 20% of the first $10,000 of expenses, in this case = $1,500 x 20% = $300 benefit
Tuition and fees deduction:
Allison can deduct $1,500 from her gross income = $1,500 x 15% tax rate = $225 benefit
Answer:
B) convertible preferred shares
Explanation:
These are the options for the question
A) adjustable rate preferred shares
B) convertible preferred shares
C) common shares
D) corporate bonds
From the question, we are given an instance whereby One of your new clients explains that she prefers investments paying income with a fixed rate of return, but also allows for the possibility of realizing greater gain potential. In this case She would likely
favor investments in convertible preferred shares. Convertible preferred shares can be regarded as corporate fixed-income securities whereby an investor is allowed to turn into particular number of shares of the common stock of the firm after or on a specific date.Convertible preferred shares gives room for the owner so that the shares for a fixed number of shares can be exchanged.
Explanation:
precautionary demand for money is classified as money that are held to cover for unforeseen occurrence e.g, an accident or illness.
It should also be noted that: The amount of money held for such purposes is broadly dependent on the level of income and expenditure.
With more income the precautionary demand will increase because there are more likely to be surprises in the timing or magnitude of the correspondingly high expenditures
A higher rate of interest represents a higher opportunity cost of holding money for any reason, including the precautionary reason, and so leads to lower precautionary holdings.
Answer:
Often, people who are in the habit of saving money can be seen as being overly concerned, but the purpose of having a reserve is precisely to avoid greater worries in the face of unforeseen events.
Answer:
Niether of the party to contract earned any gain on this investment
Explanation:
The reason is that the both companies exchanged assets whose Fair Market value was equal to the amount received. This is because the Baron Corporation would would had written down its asset at FMV which means the asset is sold at a price that actually costs the Broom Corporation if it uses the asset for its rest of the life. Furthermore, the Docker will also not recognize any gain on the stock repurchased sold because it is not permitted in the accounting standard.
