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a_sh-v [17]
3 years ago
5

Peter owns an auto dealership. Peter hires Cara as a receptionist, Ben as a salesperson, Stacy as a mechanic, and the "Clean as

a Whistle Co." to come in at night and clean the premises. Which situation is LEAST likely to result in liability for Peter?
a. Cara, with authority, buys office supplies from Office Stuff.

b. Ben sells a car at a$ 1 ,000 markdown, after Peter told him not discount more than$ 500.

c. Stacy forgets to put the oil plug back into Daria's car after an oil change, damaging the engine when the oil runs out.

d. Emeralda from " Clean as a Whilte Co." runs over patty Pedestrain in the dealership's parking lot.
Business
1 answer:
drek231 [11]3 years ago
8 0

Answer:

d. Emeralda from " Clean as a Whilte Co." runs over patty Pedestrain in the dealership's parking lot.

Explanation:

Liability is the degree to which a person is responsible for injury that happens to another party in a lawsuit. Peter owns an auto dealership. Peter hires Cara as a receptionist, Ben as a salesperson, Stacy as a mechanic, and "Clean as a Whistle Co." as cleaners.

Peter will be least liable if Emralda from "Clean as a Whistle Co." runs over Patty I'm the dealership's parking lot.

This is because Peter hired the company as a seperate entity from the cleaning company employees. The conduct of employees from the cleaning company is responsibility of "Clean as a Whistle Co."

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Duc has been employed by Longbow Corporation for 25 years. During that time, he bought an annuity at a cost of $50 per month ($1
Arte-miy333 [17]

Answer:

a. How much gross income does Duc have from the contract in the current year?

According to the IRS, Duc's life expectancy is 90 years and 8 months, or 310 more months. This means that Duc can discount from his monthly income $15,000 / 310 = $48.39 (which we must round down to $48).

Duc received 8 x $200 = $1,600

deductions = 8 x $48 = $384

taxable income = $1,216

b. Assume that Duc dies on April 2, 2025. How does Annika account for the contract in 2025?

Annika should account for the contract in the same way as Duc did, and will also be able to discount $48 per month form her gross income. Since Annika will still file her taxes as married during 2025, she will report net income from this contract = ($200 - $48) x 12 months = $1,824

c. Assume the same facts as in part b and that Annika dies on August 4, 2032. How does the executor of Annika's estate account for the contract in the year of her death?

Both Duc and Annika received [(2032 - 2019) x 12] + 4 = 160 payments in total, so her estate is entitled to a tax deduction = (310 - 160) x $48 = $7,200

Since she died on August, her estate must also report income = ($200 - $48) x 8 = $1,216

3 0
3 years ago
You're considering a project with an initial cost of $6400, what is the payback period for this project if the cash inflows are
Alinara [238K]
Cost : 6400

900 + 1,350 = 2,250

2,250 + 500 = 2,750

2,750 + 1,350 = 4,100

4,100 + 2,800 = 6900

So there’s more than 6,400 dollars
7 0
3 years ago
What will increase the current value of a stock?
GrogVix [38]
Increase in capital gains yield
8 0
3 years ago
The changes in account balances for Elder Company for 2018 are as follows: Assets $ 680,000 debit Common stock 350,000 credit Li
hammer [34]

Answer:

Net income will be $160000

So option (c) will be the correct answer

Explanation:

We have given debt common stock = $680000

Credit liabilities = 350000

Credit paid in capital = 190000

And excess of par 30,000 credit Assuming the only changes in retained earnings

So 680000 = 350000+190000+30000+ retained earning

So retained earning = $110000

Dividend paid = $50000

So net income = dividend paid + retained earning = $110000+$50000 = $160000

So option (c) will be the correct answer

4 0
3 years ago
A company incurred the following costs for a new delivery​ truck: Purchase price $ 150 comma 000 Sales tax 7 comma 900 Delivery
MrMuchimi

Answer:

$168,200

Explanation:

Given that,

Purchase price = $ 150,000

Sales tax = 7,900

Delivery charge from​ sellers location = 1,200

Special racks for storage = ​3,000

Normal repairs to the truck before it was used for the first time = ​1,100

Signs painted on the truck ​= 2,000

Insurance on truck before it was used for the first time = ​3,000

All the above expenses are included in determining the cost of the delivery truck. Normal repairs to the truck and insurance on truck are also included in the cost of truck because it was incurred before the truck used for the first time.

Cost of the delivery​ truck:

= Purchase price + Sales tax + Delivery charge from​ sellers location + Special racks for storage + Normal repairs to the truck before it was used for the first time + Signs painted on the truck + Insurance on truck before it was used for the first time

= $150,000 + $7,900 + $1,200 + $3,000 + $1,100 + $2,000 + $3,000

= $168,200

5 0
3 years ago
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