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Trava [24]
3 years ago
12

Although it is a small company, Zorn Enterprises owns a large number of inexpensive rental housing units in Texas and Louisiana.

Currently, the company is a chartered C corporation, but the owners are interested in switching to be an S corporation. After consulting a lawyer, they learned that Zorn Enterprises does not qualify to be designated as an S corporation. Which of the following characteristics of Zorn Enterprises would prevent it from becoming an S corporation? A. The firm has fewer than 75 stockholders.B. The firm is chartered in one state, but owns property in another.C. The firm has only one class of stock, all owned by U.S. citizens.D.The firm receives more than 70 percent of its income from rents and other passive sources.
Business
1 answer:
inna [77]3 years ago
7 0

Answer:

D) The firm receives more than 70 percent of its income from rents and other passive sources.

Explanation:

Many small corporations change from C corporations to S corporations since S corporations eliminate the double taxation issues. Although S corporations have some limitations specially regarding the number of stock owners (currently limited to 100) and their nationality or legal residence status. They can only issue one type of stock which limits their ability to increase capital. S corporations cannot have more than 70 percent of their income from passive sources (this includes rent).  

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Tom O'Brien has a 2-stock portfolio with a total value of $100,000. $47,500 is invested in Stock A with a beta of 0.75 and the r
Degger [83]

Answer:

1.10

Explanation:

The computation of portfolio's beta is shown below:-

= Stock A Beta × Invested in Stock A ÷ Total value + Stock B Beta × (Total value - Invested in Stock A) ÷ Invested in Stock A

= 0.75 × $47,500 ÷ $100,000 + 1.42 × ($100,000 - $47,500) ÷ $100,000

= 0.75 × $47,500 ÷ $100,000 + 1.42 × $52,500 ÷ $100,000

= 0.75 × 0.475 + 1.42 × 0.525

= 0.35625 + 0.7455

= 1.10175

or

= 1.10

Therefore for computing the portfolio beta we simply applied the above formula.

4 0
3 years ago
"A user complains that his computer is taking a long time to boot. During the boot process, you observe that the hard drive acti
MArishka [77]

Answer:

You should add an identical hard drive, and configure a RAID-0 volume.

Explanation:

7 0
3 years ago
What is the first step for marketers in implementing the marketing concept?
Svet_ta [14]

Answer:

The answer is: You need to identify your market.- Who are your potential customers and what unsatisfied need do they have in common?

Explanation:

A marketing concept can be defined as:                                                          The idea/concept/philosophy that your business is going to follow in order to satisfy their customers' needs while reaching their business's goals.

The first thing you need to do is identify your target market, i.e. Who are your potential customers and what unsatisfied need do they have in common?

3 0
3 years ago
When Patey Pontoons issued 6% bonds on January 1, 2018, with a face amount of $600,000, the market yield for bonds of similar ri
miskamm [114]

Answer:

Follows are the solution to this question:

Explanation:

Some of the missing data is defined in the attached file, please find it.

Bond problem rates  

Diagram values are based on the following:

N = 4\times 2 \\\\

    = 8 \ Years \\

i = 10.00 \% \times  \frac{1}{2} \\\\

  = 5.00 \% \\

\left\begin{array}{ccc} Cash \ Flow&\ \ \ \ \ \ \ Table \ Value  \times  Amount& \ \ \ \ \ \ \ \ =  Present \ Value\\ Principal  &0.676839 \times  \$ 600,000&    =\$ 406,104 \\ Semi-annual \ interest& 6.463213  \times \$ 18,000 &   =\$ 116,337\end{array}\right \\

Bond issuance price                                                                    

Timetable for bond amortization:  

please find the attachment.

5 0
3 years ago
A report that shows the financial picture of a company at a given time and itemizes assets, liabilities and stockholders' equity
natta225 [31]

Answer: e

Explanation :

A balance sheet is a statement of the financial position of a business that lists the assets, liabilities and owner's equity at a particular point in time. In other words, the balance sheet illustrates your business's net worth.

The balance sheet may also have details from previous years so you can do a back-to-back comparison of two consecutive years. This data will help you track your performance and will identify ways to build up your finances and see where you need to improve.

A balance sheet reports a company's assets, liabilities and shareholders' equity at a specific point in time, and provides a basis for computing rates of return and evaluating its capital structure . the balance sheet is divided into two sides (or sections). The left side of the balance sheet outlines all a company’s assets. On the right side, the balance sheet outlines the companies liabilities and shareholders’ equity. On either side, the main line items are generally classified by liquidity. More liquid accounts like Inventory, Cash, and Trades Payables are placed before illiquid accounts such as Plant, Property, and Equipment (PP&E) and Long-Term Debt. The assets and liabilities are also separated into two categories: current asset/liabilities and non-current (long-term) assets/liabilities.

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