The answer is Bound tariff
Bound tariff refers to the maximum amount of tariff that a certain nation could impose to other nations for bringing in their products.
For developing countries that relies on high quantity of products for thir exports, this tariff system would be really favorable for them.
A downfall of the infant-industry argument is that o<span>nce established, a tariff is politically difficult to remove.
For new industries, it almost impossible for a new startup to compete against a well-established industry unless they have a unique differentiation in their product.</span>
Answer:
$ 165,998.41
Explanation:
The amount lease receivable is the present value of annual lease rental which is $30,259 per for 7 years.
The present value can be determined using the present value formula in excel given below:
=-pv(rate,nper,pmt,fv,type)
rate is the 9% rate of return per year
nper is the number of years the payment would be made which is 7
pmt is the regular lease payment per year which is $30.259
fv is the total payments payable by the leasee which is unknown
type is 1 since payment is received at the beginning of the year,it would have been zero if payments are expected end of the year
=-pv(9%,7,30259,0,1)=$165,998.41
Answer:
1. b) $2 U
2. d) $2800 F
3. a) $6920 F
4. d) $10253 F
Explanation:
1) The activity variance for administrative expenses in May would be closest to: (3000-3020)*.10 = 2 U
Therefore, answer is b) $2 U
2) Revenue variance = (38*4100)-158600 = 2800 F
Hence, answer is d) $2800 F
3) Revenue variance = (5940*32.60)-200564 = 6920 F
So answer is a) $6920 F
4) Spending variance for plane operating costs = (39590+2649*85+4*297)-255690 = 10253 F
So answer is d) $10253 F
Answer:
Deferred Tax Asset:
The amount of taxes that is paid or carried forward but not yet identified in the income statement is referred as deferred tax asset
Journal Entries:
Debit: Income Tax Expense (balancing amount) = 812,500
Debit: Deferred Tax Asset = 87,500
Credit: Income Tax Payable = 900,000
- Income tax expense reduces the stockholders. equity. Hence, debit income tax expense with $812,500
.
- Deferred tax asset is an asset and is increased by $87,500. Therefore, debit deferred tax asset account with $87,500.
- Income tax payable increases the liability by $900,000. Therefore, credit Income tax payable account with $900.000.
Working note:
Determine the amount of deferred tax asset.
Deferred tax asset = Rent collected in 2021 × Enacted tax rate
Deferred tax asset = $350,000 × 25%
Deferred tax asset = $87,500
Determine the amount of income tax expense.
Income tax expense = Income tax payable — Deferred tax asset
Income tax expense = $900,000 = $87,500
Income tax expense = $812,500
