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svet-max [94.6K]
4 years ago
13

The following information relates to Franklin Freightways for its first year of operations (data in millions of dollars): Pretax

accounting income: $ 160 Pretax accounting income included: Overweight fines (not deductible for tax purposes) 8 Depreciation expense 80 Depreciation in the tax return using MACRS: 119 The applicable tax rate is 25%. There are no other temporary or permanent differences. Franklin's taxable income ($ in millions) is: Multiple Choice $39. $129. $121. $119.
Business
1 answer:
xxMikexx [17]4 years ago
3 0

Answer:

$129

Explanation:

Pretax accounting income: $ 160

Overweight fines (not deductible for tax purposes) 8

Depreciation expense 80

Depreciation in the tax return using MACRS: 119

Franklin's taxable income ($ in millions) = $160 + $8 - ($119 - $80) =

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You pay $20,800 to the Laramie Fund which has a NAV of $18.00 per share at the beginning of the year. The fund deducted a front-
Kitty [74]

Answer:

6.92%

Explanation:

Beginning investment fund is $20,800.

Now, fund available= Beginning fund(1-front end load)

=20,800(1-0.03)=$20176

Now, the number of shares that can be brought with the available fund

[tex}\text{Number of shares}=\frac{\text{fund available}}{NAV_{beginning}}[/tex]

=\frac{20176}{18}

=1120

Now calculating closing NAV

NAV(closing)=NAV(beginning)=(1+increased%)

=$18(1+12%)=18×1.12

=$20.16

Calculate year end asset value

Year end asset value =NAV(closing)×No. of shares

=$20.16×1120=$22579.2

Value of investment after deducting the expense ratio

Closing investment value = Year end asset value×(1-expense ratio)

=$22579.2×(1-1.5%)

=$22240.512

Now,

Return on the fund =[(closing investment value)-(Beginning investment fund)]÷Beginning investment fund

=(22240.512-20800)÷20800

=0.0692

or, 6.92%

7 0
4 years ago
Bramble Corp. purchased land as a factory site for $1305000. Bramble paid $121000 to tear down two buildings on the land. Salvag
AURORKA [14]

Answer:

Part 1

$1,422,940

Part 2

$331,480

Explanation:

cost of the land calculation

Purchase Price                             $1305000

Cost to tear down building             $121000

Sale of Salvages                               ($8400)

Leagl fees                                           $5340

Total                                            $1,422,940

The cost of the land that should be recorded by Wilson Co. is: $1,422,940

cost of the building calculation

Architect's fees               $47000

Insurance                          $3900

Liability insurance            $4200

Excavation cost               $15480

city for pavement             $9900

Borrowing Costs           $251000

Total                              $331,480

The cost of the building should be recorded by Wilson Co. is $331,480

4 0
3 years ago
If Ford Motor Company builds a new auto plant in South Africa this is considered to be
Irina-Kira [14]

Group of options omitted and they are

a) brownfield investment only

b) brownfield and horizontal investment

c) greenfield and horizontal investment

d) greenfield and vertical investmen

Answer:c) greenfield and horizontal investment

Explanation:

A green-field investment is  foreign direct investment whereby a parent company establishes a new  subsidiary in a different or foreign  country, starting its operations from the scratch, ie building the establishment from ground up and not buying an already existing plant or structure..

By  horizontal direct investment , it  means that the  investor establishes  the same type of  operation in a different country as it operates in its home country, for example, Ford Motor Company  based in the United States building a new auto plant  in South Africa.

7 0
3 years ago
Mack opened a cd 10 years ago at an interest rate of 7.8%, compounded monthly. According to the rule of 72, when did he have hal
Yakvenalex [24]
72 rule says
72/rate=Time
72/7.8= 9.23 years
8 0
3 years ago
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Because amazon prime offers super-fast, free shipping, many other retailers have had to offer the same type of shipping in order
kakasveta [241]

Because amazon prime offers <u>super-fast, free shipping, many other </u><u>retailers</u> have had to offer the same type of shipping in order to compete. This is an example of <u>horizontal channel conflict</u>.

What is amazon prime?
A paid subscription model from Amazon called Amazon Prime is accessible in many different countries and grants users access to extra services that would otherwise be either unavailable or priced higher for other Amazon customers. <u>Services include grocery shopping, streaming music, video, and e-books, as well as same-day, one- as well as two-day delivery of goods</u>. Amazon stated that Prime had more over 200 million subscribers worldwide as of April 2021. In Australia, Canada, Germany, Italy, this same United Kingdom, India, as well as the United States, Amazon Prime membership also grants access to Amazon Video, which offers free instant streaming of a limited number of movies and TV shows. The Kindle Owners' Lending Library, that also enables users to borrow up to one popular Kindle e-book per month, was made available to Prime members in November 2011.

To learn more about amazon prime
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3 0
2 years ago
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