Smith Company’s adjusted trial balance on August 31, 2013, its fiscal year-end, follows.

Exercise 15-19 (LO. 3,4) Henry, a freelance driver, finds passengers using various platforms such as Uber and Grubhub. He is sin

Oksi-84 [34.3K]

Answer:

Qualified Business Income Deduction is $9,800

Tax liability = $4,564

Explanation:

Qualified business income is calculated by subtracting an individual's ordinary deduction from a qualified business or trade from the individual's ordinary income.

Net income = $61,000

Standard deduction = $12,000

Modified taxable income;

$61,000 - $12,000 = $49,000

QBI Deduction (Sec 199A) is the lesser of:

[0.2 × 49,000 < 0.2 × 61,000]

$9,800 < $12,200

Therefore Qualified Business Income Deduction is $9,800

Taxable income = $(49,000 - 9800) =$39,200

5 0

3 years ago

________ can describe a product class, a product form, or a brand.

satela [25.4K]

Advertisment?? I mea its the best awnser am i right??

8 0

3 years ago

Linda loves buying shoes and going out to dance. Her utility function for pairs of shoes, S, and the number of times she goes d

padilas [110]

Answer:

See Explanation

Explanation:

Given

$U(S,T) = 2ST$

$M_U_S =2T$

$M_U_T=2S$

The following details are omitted from the question

$P_S= \$50$ --- Price of the Shoes

$P_T = \$50$ --- Spent on dancing

$B = \$500$ --- Budget on shoe and dancing

Solving (a): Her budget line

First, we determine her budget equation (B).

This is calculated by:

$B = P_S * S + P_T *T$

This gives:

$500 = 50 * S + 50 * T$

$500 = 50 S + 50 T$

Divide through by 50

$10 =S + T$

$S + T = 10$ --- The budget equation

See attachment for the budget line equation

Solving (a): Optimal Consumption Bundle Point

First, we determine the marginal rate of substitution (MRS) using:

$MRS = \frac{MU_s}{MU_t} = 1$

$MRS = \frac{2S}{2T} =1$

This implies that:

$\frac{2S}{2T} = 1$

Cross Multiply

$2S = 2T * 1$

$2S = 2T$

Divide by 2

$S = T$

Substitute T for S in the budget equation

$T + T= 10$

$2T = 10$

$T=5$

Recall that:

$S = T$

$S = 5$

So, the point if optimal consumption bundle is (5,5)

See attachment for point R

5 0

3 years ago

Profits encourage entry into purely competitive industries and losses encourage exit from purely competitive industries because

inn [45]

Answer:

C) When profits are zero, the firm is earning sufficient revenue to cover the opportunity cost.

Explanation:

When benefits are zero, the firm is gaining adequate income to cater for the open door expense. Misfortunes bring about exit and discharge assets to stream to business sectors where there are benefits. Minimal income and negligible expenses are equivalent; some other yield levels will bring about decreased interest.

Since quite a while ago running a focused balance, a firm is winning zero financial benefits as they won't keep on delivering because it could procure a superior return in another industry. Keep on creating because such interest relates to negative bookkeeping benefits.

8 0

3 years ago

Carter Company reported the following financial numbers for one of its divisions for the year; average total assets of $4,240,00

Montano1993 [528]

Answer:

Residual income is $ 123,800.00

Explanation:

The formula for residual income is given below:

Residual Income = operating income - (Required Return × Average Operating Assets)

The operating income=Sales-costs of goods sold-operating expenses

sales is $4,665,000

costs of good sold is $2,690,000

operating expenses of $1,512,000

operating income=$4,665,000-$2,690,000-$1,512,000

operating income=$463,000

residual income:

required return is 8%

average operating assets is $4,240,000

residual income=$463,000-($4,240,000*8%)

=$463,000-$339,200

=$123,800.00

5 0

3 years ago