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4 years ago

Which of the following is a true statement?

Business

1 answer:

Bas_tet [7]4 years ago

5 0

Answer:

e) All of the choices are true.

Explanation:

The definition of a fiduciary are;

a) A fiduciary entity is a legal entity that takes possession of property for the benefit of a person.

b) An estate is a fiduciary entity that comes into existence upon a person's death to transfer the decedent's real and personal property.

c) A trust is also a fiduciary entity whose purpose is to hold and administer the corpus for other persons (beneficiaries).

d) An estate exists only temporarily, but a trust may have a prolonged or even indefinite existence.

Generally, a fiduciary is saddled with the responsibility of providing duties in good faith, ethics and trust.

You might be interested in

There are three reasons for the downward slope of the demand curve:

Virty [35]

Answer:

Explanation:

From the above question, three reasons for the downward slope of the demand curve and the effect with the component of aggregate demand are:

1. Net Exports : the international trade effect

2. consumption : the wealth effect

3. investment : the interest rate effect

4 0

3 years ago

What is the present value of a 3-year annuity of $150 if the discount rate is 7%? (Do not round intermediate calculations. Round

BaLLatris [955]

Answer:

PV= $393.65

Explanation:

Giving the following information:

Cash flow= $150

Number of periods= 3 years

Interest rate= 7%

To calculate the present value of the annuity, first, we need to determine the future value:

FV= {A*[(1+i)^n-1]}/i

A= annual cash flow

FV= {150*[(1.07^3) - 1]} / 0.07

FV= $482.24

Now, the present value:

PV= FV/(1+i)^n

PV= 482.24/1.07^3

PV= $393.65

3 0

3 years ago

During the current year, Haft Co. became involved in a tax dispute with the IRS. At December 31, Haft’s tax advisor believed tha

GrogVix [38]

Answer:

A) $200,000

Explanation:

In this case, Haft has a wide range of possible losses, between $200,000 to $300,000. Since no amount is more probable than others, then the company can decide to report the lowest estimate as long as all the other estimates have the same probability of happening. But if another estimate was probable, e.g. $220,000, then that estimate should be recorded even if it was higher.

8 0

3 years ago

Susan is working the night shift and there aren't many people in the store. Her

yaroslaw [1]

Answer: B. Inform the manager that money was taken from the cash register

Explanation:

Ethics simply has to do with knowing what's good and what's bad. Since Susan noticed that her co-worker took the extra money without reporting, the ethical thing to do is to report to the manager.

Pretending not to see what happened, splitting the money with her or telling another co-worker about it but telling the co-worker not to tell anyone are all wrong and not ideal. The co-worker who stole should be reported to the manager.

3 0

3 years ago

25. On January 1, X9, Gerald received his 50 percent profits and capital interest in High Air, LLC, in exchange for $2,700 in ca

coldgirl [10]

Answer:

The amount of loss that Gerald

can deduct is $5,050, and how much loss must he suspend if he only applies the tax basis loss limitation is $2,700

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 Gerald's initial tax basis is

Gerald's initial tax basis= [$2,700 + $3,700 - $2,700 + (50% × $2,700)]

Gerald's initial tax basis= [$2,700 + $3,700 - $2,700 + $1,350]

Gerald's initial tax basis= $5,050

Calculation for Gerald allocation

Gerald 50% allocation =50%*$15,500

Gerald 50% allocation =$7,750

Calculation for the Remaining loss that would be suspended and carried forward indefinitely

Suspended loss= $7,750-$5,050

Suspended loss= $2,700

Therefore the amount of loss that Gerald

can deduct is $5,050, and how much loss must he suspend if he only applies the tax basis loss limitation is $2,700 ($7,750-$5,050)

3 0

3 years ago