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ASHA 777 [7]
3 years ago
8

A customer has purchased 5,000 shares of ABC Corporation stock in lots of 100 shares over an extended period of time at varying

prices. The customer now sells 500 of the shares. Which statement is TRUE?
a. IRS rules require that First In First Out accounting to be used to identify the shares sold when computing any gain or loss
b. IRS rules require that LIFO accounting be used to identify the shares sold when computing any gain or loss
c. IRS rules allow the taxpayer to specify which shares being sold
d. IRS rules require that the method giving the largest capital gain be used
Business
1 answer:
ozzi3 years ago
8 0

Answer:

c. IRS rules allow the taxpayer to specify which shares being sold

Explanation:

As eahc method will make the capital gain or loss to differ the Internal Revenue Service leaves to the stockholder to decide the method

The default method is the FIFO method which states the first shares purchased are the first sale but, leaves choise to the stockhodler to use specific identification which, is what the statement correctly points out.

The method are not "required" but allowed as the stockholder see fit.

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Developed nations have lower labour costs than Asian businesses. true or false
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False, in developed nations labor costs are much much higher which is why labor is sent over to less developed countries
3 0
3 years ago
Money invested is usually used to do which of the following?
Sergeeva-Olga [200]

It should be noted that money invested is to C. Achieve long-term goals

<h3>What is money?</h3>

It should be noted that money is a means of exchange. It is required for our transactions.

When money is invested, the purpose is simply to achieve long-term goals. This can be an increase in revenue, prepare for future financial needs, etc.

Learn more about money on:

brainly.com/question/24373500

5 0
2 years ago
During the last year, Exeter Enterprise Inc. generated $702.00 million in cash flow from operating activities and had negative c
kakasveta [241]

Answer:

a.) -$254.00 million

* The option given in the question is inconsistent with question's data so that the answer is not matched. Following Question is the correct. Please refer my following solution to this question

During the last year, Len Corp. generated $936 million in cash flow from operating activities and had negative cash flow generated from investing activities (-$512 million). At the end of the first year, Len Corp. had $160 million in cash on its balance sheet, and the firm had $330 million in cash at the end of the second year. What was the firm's cash flow (CF) due to financing activities in the second year?

a.) -$254.00 million

b.) -$127.00 million

c.) $317.50 million

d.) $190.50 million

Solution based on above data:

Cash Balance at the end of Year 2 = Cash Balance at the start of Year 2 + net cash flow for year 2

Cash Balance at the end of Year 2 = Cash Balance at the start of Year 2 + ( Cash flow from operating activities + cash flow from Investing activities + cash flow from Financing activities

$330 million = $160 million + ( 936 million + (-$512 million ) + cash flow from Financing activities )

$330 million = $160 million + ( 936 - $512 million + cash flow from Financing activities )

$330 million = $160 million + 424 million + cash flow from Financing activities

$330 million = $584 million + cash flow from Financing activities

Cash flow from Financing activities = $330 million - $584 million

Cash flow from Financing activities = - $254 million

Explanation:

According To given data:

Cash Balance at the end of Year 2 = Cash Balance at the start of Year 2 + net cash flow for year 2

Cash Balance at the end of Year 2 = Cash Balance at the start of Year 2 + ( Cash flow from operating activities + cash flow from Investing activities + cash flow from Financing activities

$305 million = $120 million + ( 702 + (-$384 million ) + cash flow from Financing activities )

$305 million = $120 million + ( 702 - $384 million + cash flow from Financing activities )

$305 million = $120 million + 318 million + cash flow from Financing activities

$305 million = $438 million + cash flow from Financing activities

Cash flow from Financing activities = $305 million - $438 million

Cash flow from Financing activities = - $153 million

8 0
3 years ago
Opponents of rent control believe that it causes _____. equilibrium rents economic efficiency housing shortages
padilas [110]
<span>Opponents of rent control believe that it causes housing shortages. The correct option among all the options that are given in the question is the fourth option or the last option. The other choices can be easily neglected. I hope that this is the answer that you were looking for and the answer has come to your help.</span>
7 0
3 years ago
Read 2 more answers
Manny and Irene will be retiring in fifteen years and would like to buy a Mexican villa. The villa costs​ $500,000 today, and ho
ki77a [65]

Answer:

Annual deposit= $37,714.37

Explanation:

Giving the following information:

The villa costs​ $500,000 today, and housing prices in Mexico are expected to increase by​ 6% per year. Manny and Irene want to make fifteen equal annual payments into an​ account, starting​ today, so there will be enough money to purchase the villa in fifteen years.

The account earns​ 10% per​ year.

First, we need to calculate the final value of the house with the following formula.

FV= PV*(1+i)^n

FV= 500,000*(1.06^15)=$1,198,279.1

Now, we can calculate the annual payments required:

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

A= annual deposit

Isolating A:

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

A= (1,198,279.1*0.10)/[(1.10^15)-1]

A= $37,714.37

6 0
3 years ago
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