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3 years ago

Stimpleton Company engages in the following cash payments:

Business

1 answer:

bezimeni [28]3 years ago

8 0

Answer:

A. $ 1.750

Explanation:

from the given infomation, the operating activities are:

1. pay rent = $ 700

2. pay workers salaries = $ 1.050

The total cash paid fpr operating activities = $ 700 + $ 1.050

= $ 1.750

Therefore, the total amount of cash paid for operating activities is $ 1.750.

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On January 1, 2020, Gerald received his 50% profits and capital interest in High Air, LLC in exchange for $2,000 in cash and rea

Y_Kistochka [10]

Answer:

$4,000;$3,500

Explanation:

Calculation to determine How much loss can Gerald deduct, and how much loss must he suspend if he only applies the tax basis loss limitation

Calculation for How much loss can Gerald deduct

Gerald's loss Deduction = [$2,000 + $3,000 - $2,000 + (50% × $2,000)]

Gerald's loss Deduction =[$2,000 + $3,000 - $2,000 + $1,000]

Gerald's loss Deduction=$4,000

Calculation for how much loss must he suspend

Loss to Suspend=(50%*$15,000)-$4,000

Loss to Suspend=$7,500-$4,000

Loss to Suspend=$3,500

Therefore the amount of loss that Gerald can deduct is $4,000 and the amount of loss that he must suspend if he only applies the tax basis loss limitation is $3,500

3 0

3 years ago

"The net present value of the investment, excluding the annual cash inflow, is −$403,414. To the nearest whole dollar how large

nadezda [96]

Answer: c. $81,202

Explanation:

The inflow will be annual and constant which makes it an annuity. Given the discount rate of 12% and a useful life of 8 years, the present value interest discount factor based on the table is = 4.968.

Option 1 present value

= 48,410 * 4.968

= $240,500.88‬

Option 2 present value

= 50,427 * 4.968

= $250,521.34

Option 3 present value

= 81,202 * 4.968

= $403,412

Option 3 is the closest option with the difference being down to rounding errors. The annual inflow would have to be $81,202 to make the investment in the equipment financially attractive.

4 0

3 years ago

Opportunity cost a) only is considered for goods in short supply. b) is the value of the next best alternative as a result of ch

Volgvan

Answer:

C. is the value of the next best alternative as a result of choosing some given alternative

Explanation:

Opportunity cost -It is the the benefit that an individual , business or investor miss out , while choosing an alternative .The financial reports does not show the opportunity cost , which the owner of the business use to make an educated decisions while going through multiple options .

3 0

3 years ago

Read 2 more answers

After setting the pricing objective, the next step in Amy's price-setting process is to:_______. a) monitor the effectiveness of

lakkis [162]

Answer: Evaluate demand

After setting the pricing objective, the next step in Amy's price-setting process is to evaluate demand

Explanation:

4 0

3 years ago

Suppose a small country has a comparative advantage in the production of consumer electronics, and it has one major electronics

zlopas [31]

Answer:

Imports create greater competition in the domestic marketplace.

Explanation:

Comparative advantage is defined as the ability of a company to produce goods at a lower opportunity cost than other competitors. They can now sell the goods at lower prices.

If the company in this scenario have competitive advantage in producing electronics then it is xheap for them to produce.

When they export electronics and import again, it can only mean that the imported electronics have a competitive edge that the company wants to take advantage of. For example higher quality than what is available locally.

4 0

3 years ago

Read 2 more answers