Explain global business planning system in detail

Zhou owns a nonrental business with two separate departments. Department A generates net income of $70,000, and Department B gen

Margaret [11]

Answer: $58,000

Explanation:

If Zhou is allowed to treat the departments as components of a single activity then ALL the losses suffered by Department B can be offset against the Income of Department A because they will be treated as a singular business.

Seeing as Department A has a higher income of $70,000 than the loss of Department B of $58,000, all of Department B's loss can therefore be offset by Department A.

8 0

3 years ago

A taxpayer, age 60, purchases an annuity from an insurance company for $90,000. She is to receive $500 per month for life. Assum

Hitman42 [59]

Answer and Explanation:

The computation of the expected return and the exclusion amount is shown below:

Expected return is

= Received amount on a monthly basis × total number of months in a year × life expectancy

= $500 × 12 × 24.2

= $145,200

Now the exclusion amount is

= Purchase value of an annuity × Purchase value of an annuity ÷ expected return

= $90,000 × $90,000 ÷ $145,200

= $55,785

8 0

2 years ago

There is clear evidence that the benefits of regular exercise throughout life include

makkiz [27]

You can control your body weight, can increase your bone strength, and can improve the quality in your life.

7 0

3 years ago

QUESTION 2 The primary way in which relationship selling creates customer value is by assigning a single sales representative to

Neko [114]

Answer:

maintaining a long-term connection involving trust and mutual respect.

Explanation:

Customer value is created by relationship selling, and in order for this to happen a relationship of mutual trust and respect must be established between the seller and the buyer. And it takes time to build a mutual trust and respect relationship, it is not something that happens immediately. The seller must learn about the customer's needs and must be able to provide specific products or services that satisfy those needs.

6 0

3 years ago

Consider each of the transactions below. All of the expenditures were made in cash.

Allushta [10]

Answer:

1. Dr Research and development expenses $25,000

Cr Cash $25,000

2. Dr Legal fees expenses $8,500

Cr Cash $8,500

3. Dr Equipment $38,000

Dr Discount on Note Payable $5,599

Cr Cash $19,000

Cr Note Payable $24,500

4. Dr Building - sprinkler system $41,000

Cr Cash $41,000

5. Dr Patent $25,000

Cr Cash $25,000

6. Dr Equipment new $13,900

Dr Accumulated Depreciation - equipment $7,000

Dr Loss on trade in $3,600

Cr Cash $10,600

Cr Equipment - old $13,900

Explanation:

Preparation of the journal entries

1. Dr Research and development expenses $25,000

Cr Cash $25,000

2. Dr Legal fees expenses $8,500

Cr Cash $8,500

3. Dr Equipment $38,000

Dr Discount on Note Payable $5,599

($38,000-$19,000-$24,500)

Cr Cash $19,000

Cr Note Payable $24,500

4. Dr Building - sprinkler system $41,000

Cr Cash $41,000

5. Dr Patent $25,000

Cr Cash $25,000

6. Dr Equipment new $13,900

Dr Accumulated Depreciation - equipment ($13,900 - $6,900) $7,000

Dr Loss on trade in $3,600

($10,600+$13,900-$13,900-$7,000)

Cr Cash $10,600

Cr Equipment - old $13,900

5 0

2 years ago