Answer:
$36,160
Explanation:
expected cash flow for March
Beginning cash balance $34,000
Sales $177,280
Variable costs -$132,960
S&A costs -$48,000
without depreciation
ending cash balance $30,320
desired ending cash -$66,480
cash deficit to be $36,160
covered by bank loan
Answer:
V. Sell any assets Maria personally owns and apply the proceeds to the store’s debt
Explanation:
A sole proprietorship refers to a business venture owned and managed by a single person. The owner makes all the key decisions regarding the business. He or she enjoys all the profits by himself but also suffers all the losses alone.
Legally, a sole proprietor and the business are treated as one entity. The law does not distinguish between the assets and liabilities of the business, with those of its owner. A sole proprietor does not enjoy the benefits of limited liability. Should Maria's business fail it repaying its obligations, her properties may be used in settling the debts.
Answer:
$1,364
Explanation:
According to the MACRS a rental house is classified as the 27.5 year residential property. It is the first year after purchase and August is the 8th month of 2019 and so according to the MACRS depreciation table for the residential property the rate applicable for this property is 1.364%. Maximum depreciation deduction for the year 2019 is
Cost of House = $174,000
Cost of Land = $74,000
Cost of Building = $100,000
As depreciation on land is not applicable because it does not depreciate. The depreciation will be calculated using Building value
Depreciation = $100,000 x 1.364% = $1,364
Answer:
Create an agency relationship.
Explanation:
Listing agreements: It is an agreement between the broker of real estate and the owner of real estate property which develops the agency relationship so that the agreement would be legally binding to each other.
Plus in this agreement, the broker has is to act as the agent of the owner property. In return to this, the broker gets the commission from the owner.
Answer:
B. The primary advantage to municipal bonds is that interest income received is not taxed by the federal government.
Explanation:
A bond can be defined as a debt or fixed investment security, in which a bondholder (investor or creditor) loans an amount of money to the bond issuer (government or corporations) for a specific period of time. The bond issuer are expected to return the principal (face value) at maturity with an agreed upon interest (coupon), which are paid at fixed intervals.
A municipal bond can be defined as a type of bond that is typically issued by a municipality, county, local government or state in order to finance or sponsor capital expenditures for the public such as water supply, construction of roads, etc.
Hence, the primary advantage to municipal bonds is that interest income received on this type of bond is not taxed by the federal government.
