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mixer [17]
3 years ago
7

Tom is talking to his friend Bob, who has an interest in Freedom, LLC, about purchasing his LLC interest. Bob's outside basis in

Freedom, LLC, is $10,000. This includes his $2,500 one-fourth share of the LLC's debt. Bob's 704(b) capital account is $17,000. If Tom bought Bob's LLC interest for $17,000, what would Tom's outside basis be in Freedom, LLC?
Business
1 answer:
Vlad [161]3 years ago
5 0

Answer:

$19,500

Explanation:

Given that,

Bob's outside basis in Freedom, LLC, = $10,000

One-fourth share of the LLC's debt = $2,500

Bob's 704(b) capital account = $17,000

Tom bought Bob's LLC interest = $17,000

Tom's outside basis be in Freedom, LLC:

= Amount paid for interest + share of LLC’s Debt

= $17,000 + $2,500

= $19,500

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Watson Company has monthly fixed costs of $83,000 and a 40% contribution margin ratio. If the company has set a target monthly i
Rudik [331]

Answer:

$245,000.00

Explanation:

The amount of sales revenue to be made to achieve target profit is computed as follows:

<em>Sales revenue to achieve target income</em>

<em>= Total fixed cost for the period + target profit/ contribution margin</em>

Contribution margin = (Sales - variable cost) / sales   ×  100

The figure has been given as 40% in the question

Sales revenue to achieve target profit = (83,000 + 15,000)/0.4

$245,000.00

Watson Company has monthly fixed costs of $83,000 and a 40% contribution margin ratio. If the company has set a target monthly income of $15,000, what dollar amount of sales must be made to produce the target income?

Sales revenue to achieve target profit = $245,000.00

8 0
3 years ago
You want the salespeople on your staff to perform at their best, thus you want to make sure they are properly supervised. In det
lbvjy [14]

Answer:

Factors to consider:

1. Specialisation role

2. Complexity of sales process

3.Tenure

4.Geographical coverage

5. Sales Representative leadership

6. Support network

7. Internal Bureaucracy

8. Value add of managers

Factors not to consider;

1. Market share

2. Production process

3. Distribution process

4. Personal affiliation, race or religion

Explanation:

When considering a company's span of control, which simply means the number of junior staff a manager should manage, it is important to note factors relating to geographical coverage, a wide coverage can create difficulties in supervision to a manager. Consequently reducing the span of control.

Specialisation also help in ensuring the manager is an expert in the area he or she supervise. Experienced manager with good understanding of the tasks, good knowledge of the workers and good relationships with the workers, will be able to supervise more workers

The complexity of a sale process can affect a manager's supervision performance. if the sale process for example require an online payment to a final user who may not be physically available. Supervising such sales requires adequate training.

Other factors like; Tenure, Sales Representative leadership, Support network, Internal Bureaucracy, Value add of managers are paramount in determining span of control. However, market share, production process, distribution process and personal affiliation, race and religion should not affect the span of control.

3 0
3 years ago
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Kenji has had an illness and an accident during the year. His combined out-of-pocket expense for both incidents was $1,000. The
AfilCa [17]

Answer:

b. Deductible

Explanation:

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hence, the correct option is b.

And the other options are wrong

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7 0
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drek231 [11]

Answer:

a. sharing information across the organization

Explanation:

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iogann1982 [59]

Answer:

FAX

Explanation:

6 0
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