Answer:
198,000
Explanation:
(960000 - 60,000) / 5 = 180k
Deprecation expense = 180,000 x 5 = 720,000
Deprecation expense from January to April = 4/12 x 180000
720 + 75h
Answer:
= $560,000
Explanation:
Given that:
- -Beginning PBO: 500,000
- -Current Service Cost: 50,000
- -Discount Rate: 6% => interest cost = 500,000*6% = 30,000
- -Contributions by Pernell: 40,000
- -Benefits paid to employees 25,000
- -Loss on PBO: 5,000
As we know that service cost; gains and losses; payments to retired employees; prior service cost; interest cost; payments to employees are factors that change the balance of the PBO
So the ending balance of the PBO will be:
Beginning PBO + Current Service Cost + Interest cost Loss on PBO -Benefits paid to employees
$500,000 + $50,000+ $30,000+$5,000-$25,000
= $560,000
Answer:
Increase in tax rate will reduce income form bond but will not affect the benefits derivable from the purchase of the new luxury auto.
Explanation:
First, a look at the after tax rates for when tax is 35% and when it is increased to 50%.
Step 1: Compute the after tax rate when tax is 35%
=Interest rate x (1-tax rate)
= 0.08 x (1- 0.35)
-5.2%
Step 2: Compute the after tax rate when tax is increased to 50%
= Interest rate x (1- tax rate)
= 0.08 x (1-0.5)
=4%
The first outcome is that an increase in tax rate leads to a decrease in income. Meaning an increased tax rate reduces the income from the bonds.
However, an increase in tax rate although it will affect the income will have no effect on the new luxury condo, that Ms V wants to buy. This is because, the benefits Ms V will get from the auto cannot be taxed as compared with the interest on the bond.
Hence, it becomes easier for Ms V to buy the luxury auto than invest in bonds if the tax rate should increase
Answer:
In states where the administrator has designated the IARD as the method for filing registration applications electronically, two exemptions are available. The exemptions are given in cases where the form that is filed cannot be accepted by the IARD and for hardships incurred through unexpected technical difficulties in filing. In such cases the investment adviser may file a manual application.
A. The prices will decrease
