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bogdanovich [222]
3 years ago
15

Sylvio purchased an apartment building as an investment in January 2008 for $383,500 and sold it for $475,000 in 2014. He report

ed $68,436 of allowed accumulated straight-line depreciation. If Sylvio is in the highest tax bracket for ordinary income, how much of his gain qualifies for preferential tax treatment? (Points : 1)
$0.

$68,436.

$91,500.

$159,936.
Business
1 answer:
Romashka [77]3 years ago
3 0

Answer:

Hi there!!

$159,936

Explanation:

Sales proceeds                                                $475,000

Less: book value

 Cost                                       $383,500

 Accumulated depreciation <u> $(68,436)   </u>      <u> $315,064  </u>

Gain                                                                  $159,936      

Since Sylvio has maintained its investment for more than a year, the tax law allows reducing the tax on capital gain although the form of calculation of the profit is the same as for common cases.

In this case tax rate drops from 39.6% to 20%.

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The competitive firm's supply curve is equal to A. the portion of its marginal cost curve that lies on and above AFC. B. its mar
grandymaker [24]

Answer:

a. the portion of its marginal cost curve that lies above the AVC

Explanation:

In short run, a perfectly competitive produces as long as its price is above its AVC, so revenues can cover total variable cost. If price is below AVC, the firm has to shut down. Since such a firm maximizes profit by equating Price with MC, this condition means that firm's supply curve is its MC curve lying above the (minimum point of) AVC curve.

6 0
2 years ago
Discuss how AFCFTA could be trade creating free trade area?​
allochka39001 [22]

Explanation:

eliminate tariffs on intra-Africa trade, making it easier for businesses to trade within Africa and benefit from their own growing market; introduce regulatory measures such as sanitary standards and eliminating non-tariff barriers to trade; establish, in the future, a Common Continental Market.

6 0
3 years ago
"Motorcycle Manufacturers, Inc. projected sales of 76,000 machines for 2010. The estimated January 1, 2010, inventory is 6,500 u
iVinArrow [24]

Answer:

Production= 76,500

Explanation:

Giving the following information:

Motorcycle Manufacturers, Inc. projected sales of 76,000 machines for 2010. The estimated January 1, 2010, inventory is 6,500 units, and the desired December 31, 2010, inventory is 7,000 units.

We need to use the  following formula:

Production= sales + desired ending inventory - beginning inventory

Production= 76,000 + 7,000 - 6,500

Production= 76,500

4 0
3 years ago
Read 2 more answers
July 1 Sold $21,200 of computers to Company with terms 3/15, n/60. Riverbed uses the gross method to record cash discounts. Rive
Setler79 [48]

Question is incomplete. I will try to answer to the best of my ability.

Answer and Explanation:

The credit terms '3/15, n/60' and '2/10, n/30' mentioned in the question signifies the terms in which riverbed has sold its product to the buyer.

3/15, n/60 means that if the buyer pays with 15 days since the transaction takes place then the buyer would receive 3% on the receivable.

However, if they fail to pay within 15 days then the buyer would have to pay the full amount within 60 days.

Similarly, 2/10, n/30 means 2% discount within 10 days since the transaction took place. Otherwise full payment after 10 day.

4 0
3 years ago
Wendell Company provided the following pertaining to its recent year of operation:
myrzilka [38]

Answer:

Option (B) is correct.

Explanation:

Wendell's total stockholders' equity increase during the recent year of operation:

= Issued common stock - Cash dividend declared + Net Income - Stock dividend distributed + Sale of treasury stock below cost

= $50,000 - $20,000 + $70,000 - $23,000 + $7,000

= $84,000

Therefore, Wendell's total stockholders' equity increase by $84,000.

3 0
3 years ago
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