Answer:
Explanation:
1) Revenue $540,000
less: Salaries for drivers (390,000)
Fuel expense (54,000)
insurance (74,000)
Division line (44,000)
Net loss (22,000)
If division is eliminated the income would increase by $22,000
So it should be eliminated.
2) Decrease in income = $600,000 - ($540,000+$22,000)
= $38,000
3) What is the minimum amount of revenue required = 600,000 - 38,000 = $562,000
Answer: 6.6%
Explanation:
The Pure Expectations Theory believes that the future long term rate is a reflection of future short term rates.
In terms of a 5 Treasury Security then, the rate of return to be expected is the risk free rate adjusted for inflation.
The Treasury Security has no risk but for inflation risk hence this is all that should be catered for.
Rate of Return on 5 year Treasury Security = Real Risk Free Rate + Inflation Rate
= 2.5% + 4.1%
= 6.6%
Answer:
cutting taxes by $125 billion
Explanation:
given data
economy = 0.8
expenditure gap = $100 billion
to find out
cutting taxes
solution
we get here cutting or reduce taxes that is express as
cutting taxes = 
......................... 1
cutting taxes = 
solve we get cutting taxes
cutting taxes = $125 billion
so cutting taxes by $125 billion
The gift to the grandaughter is <span>Partially shielded by the annual gift tax exclusion. In the year of 2016, the federal government created </span><span>the </span>estate<span> and gift </span>tax exemption<span> is $5.45 million per individual.
Which means that the inheritence that given to the granddaughter would be tax free as long as it does not surpass the net value of 5.45 million.</span>
Answer:
Permanent accounts
Explanation:
The post-closing trial balance consists only of permanent accounts. These permanent accounts are assets, liabilities, and equity. Permanent accounts are not closed when an accounting period ends. Temporary accounts (revenue, expense, dividend) on the other hand is a direct opposite as they are closed or cleared to zero when an accounting period ends.
