This allows individuals to own their creativity and innovation in a way similar to owning physical property.

During the current year, Walter invests $35,000 in each of two separate corporations. Each investment gives him a 20% ownership

Bond [772]

Answer:

B) Only statement II is correct.

II. Has $20,000 of taxable income from Corporation Z.

Explanation:

One of the disadvantages of a C Corporation is that their owners (stockholders) are double taxed. That means that the corporation is taxed and then the stockholders are taxed depending on the dividends that they receive. In this case, Walter has $10,000 of taxable income from Corporation X (= $50,000 x 20%).

On the other hand, sole proprietorships, partnerships, limited liability companies and S Corporations are not taxed, they are pass through entities whose owners are taxed directly. In this case, Walter owns 20% of Corporation Z, therefore he must pay taxes on 20% of taxable income = $100,000 x 20% = $20,000.

8 0

3 years ago

Large retailers like walmart have enormous channel control due to their size and power. which type of channel arrangement does t

Oksi-84 [34.3K]

The type of channel that large retailers represent like Walmart who has enormous channel control due to their size and power is called administrative. Administrative channel is one of the three dependent channel arrangements usually associated in the supply chain and distribution system in general. This arrangement is mostly associated to large corporations or retailer which usually dominates the market and hence has great influence/power in the channel management

5 0

3 years ago

The Windshield division of Fast Car Co. makes windshields for use in Fast Car’s Assembly division. The Windshield division incur

fgiga [73]

Transfer price is an alternative term of opportunity cost.

$ 289.66 is the transfer price can be utilized for transport costs, loading and unloading costs, and administrative costs

solution

Transfer cost is the Total opportunity cost of moving an item from one place to another, including transport costs, loading and unloading costs, and administrative costs. Transfer price is an alternative term of opportunity cost.

Total variable cost = 740,000× $220 = 162,800,000

Total fixed cost = $3,950,000

Total selling cost = 740,000 × $515 = $381,100,000

Transfer cost = (selling cost - (variable cost + Fixed cost )

= ($381,100,000- ($162,800,000 + $3,950,000) = $214,350,000

$($381,100,000- ($162,800,000 + $3,950,000) = $214,350,000$

Transfer price = $214,350,000 ÷ 740,000 units = $ 289.66

$Transfer price = $214,350,000 ÷ 740,000 units = $ 289.66$

4 0

3 years ago

The government of Concordia adopted expansionary fiscal policies in the last two years with the aim of increasing employment. H

yulyashka [42]

Answer:

The correct answer is letter "E": The government implemented a generous welfare plan 3 years ago to support people who cannot find work.

Explanation:

According to the excerpt, a government implemented fiscal policies to increase employment for the past two years but the rate has not risen since then. One of the reasons for such a situation could be generous welfare support implemented one year before the fiscal policy measures started.

If the benefits for the unemployed increase they will be discouraged to return to the labor force. It implies the government should keep the welfare benefits at a level from where unemployed individuals can cover basic needs only but encourage them to find a job to be productive for the economy.

6 0

4 years ago

If the federal reserve increases the interest rate on bank deposits at the fed, banks will want to hold question 4 options: fewe

Annette [7]

If the federal reserve increases the interest rate on bank deposits at the fed, banks will want to hold more reserves, so the reserve ratio will rise.

4 0

3 years ago