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Stels [109]
3 years ago
12

On July 1, 2016 Harold paid $10000 for a Ten year bond with a stated interest rate of 5%, payable annually on July 1. On April 1

, 2017, 274 days after purchasing the bond, Harold sold the bond to Sam for 10050. Which of the following should be reported on Harold’s return.
a. $0 of interest income and $50 of short term capitol gains
b. $125 of interest income and $50 of short term capital gain
c. $375 of interest income and $50 short term capital gain
d. $376 of interest income and $375 of short term capital loss.
Business
1 answer:
Darina [25.2K]3 years ago
3 0

Answer:

c. $375 of interest income and $50 short term capital gain

Explanation:

The question is to determine the income and the capital gains to be reported by Harold on his 10 year bond.

Capital Gains represent are gains or loss can either be generated as a result of selling your bond fund before its maturity or when the bond is held to maturity.

Furthermore, the rule specifies that to treat the capital gains on the bond as long term it must be held for at least a year.

In this question:

The bond was purchased on the 1st of July, 2016 at $10,000

The bond was sold April 1, 2017 at $10,050. Since, the bond was only held for 274 days. It will only get short term capital gain

Short term capital gain = $10,050- 10,000 = $50

Also, The interest on bond income = (10,000 x 5%) x ( 274/ 365 days)  

= 500 x 0.75

=$375 Interest Income

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Which statement bestexplains the association between a risk factor and the development of adisease?
Monica [59]

Answer:

C. The fewer the Risk Factors for a Disease the better the Chances of a Good Health

Explanation:

Understanding Risk factors in health is very important especially when trying to find ways to ensure good health. Risk factors are important in many important health decisions. For instance, it is important to know family and personal risks, risks and benefits of a treatement and even the risk factors for a disease. All these assist in making better decisions both by the individual and the medical practitoner

A disease's risk factor represent those situations, living conditions, habits, choices etc that can heighten the probability of getting  a certain disease. A disease's risk factor represents those things or factors that tend to increase the chances of contracting such a disease, while it doesn't necessarily mean they will definitely occur, the higher these factors, then the higher the possiblity of contracting it and the lower the risk factors then the lower the possibility of contracting the disease.

For instance, it is known that smoking cigarette is a risk factor especially for lung cancer, however, family history, exposure to second hand smoke as well as radon gas are also factors that can contribute to lung cancer. These repesent the risk factors.

Risk factors are divided into five:

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4 0
3 years ago
Over the long run, ____________ per hour is the most important determinant of the average wage level in any economy. Group of an
Jlenok [28]

It should be noted that Productivity per hour in the long run is the most important determinant of the average wage level in any economy.

<h3>What is Productivity per hour?</h3>

Productivity per hour can be regarded as measure of labour productivity.

It helps to know how efficiently labour input as well as other factors of production and how it is been used in the production process.

Learn more about Productivity per hour at;

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4 0
2 years ago
The Baldwin Company currently has the following balances on their balance sheet:
Art [367]

Answer:

$77,950

Explanation:

We know that,

Total assets = Total liabilities + Shareholder equity

where,

Total assets = $240,859 + $55,000 = $295,859

Total liabilities = $140,674

And, the Ending retained earning balance = Beginning balance of retained earnings + net income - dividend paid

= $45,035 + $44,200 - $12,000

= $77,235

Now the shareholder equity would be

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=  $295,859 - $140,674 - $77,235

= $77,950

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4 years ago
You come across a scientific study reported in the New York Times. The study says that adults who played varsity sports in high
dangina [55]

Answer:

There is no short answer.

Explanation:

We are given an article that presents a study that suggests adults who played varsity sports in high school have a 20% higher chance of earning a bachelor's degree in college than the ones who did not play during high school.

The outcome variable in this example, which is also the same as a dependent variable, is the chance of graduating from college with a bachelor's degree, which depends on whether that person played varsity sports during their high school years or not.

The treatment variable in this example, which is also the same as an independent variable, is whether the subject played varsity sports in high school or not which affects their chances of graduating from college with a bachelor's degree.

Counterfactual means thinking about an event in a way that did not actually happen, counter to the facts and it helps people feel more in control which in turn provides a psychological soothing effect. Counterfactual scenario in the given example for high school athletes would be not being able to earn a bachelor's degree despite having played sports in high school.

Thinking about the counterfactual scenario is important because it helps people get a sense of power and a feeling of control which is a primal instinct the brain needs to feel safe.

I hope this answer helps.

3 0
3 years ago
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A withdrawal is when you take money out of a bank account
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