Answer:
Which of the following statements is correct?
Explanation:
Stock which has appreciated in value must be sold before it is considered part of gross income.
Answer:
Since the expected return and required return are different for both Stock X and Z, we say that they are not correctly priced
Explanation:
<em>To determine whether or not the stocks are correctly priced ,</em>
<em>we have to compare the r</em><em>equired return</em><em> and the </em><em>expected return on each of them.</em>
Required return = Rf +β (Rm-Rf)
Note that Rm-Rf is also known as market risk premium
<em>Stock Y Stock Z</em>
<em>Required return </em> 2.4% + 1.2(7.2%) 2.4% + 0.8(7.2%)
= 11% = 8.2%
<em>Expected return</em> <em>12.1% 7.85%</em>
Since the expected return and required return are different for both Stock X and Z, we say that they are not correctly priced
self-employed taxpayers pay the employee portion of the fica tax burden through self-employment taxes, but they are exempt from paying the employer portion . This statement is false.
Tax payment for self employed?
The practice of working independently rather than for an employer is known as self-employment.If a person chooses to be recognized as a self-employed individual or is generating income for which a tax return must be filed, tax authorities will typically view them as such.The crucial question for tax authorities in the real world is not whether a person is engaged in a business activity—which is still referred to as "trading" when referring to the provision of a service—but rather whether the activity is profitable and, as a result, potentially subject to taxation.To put it another way, the tax authorities generally ignore occasional and hobby- or enthusiast-based economic activity because trading is likely to be ignored if there is no profit.People who work for themselves are typically referred to as sole proprietors (or sole traders), independent contractors, or partners.
to know more about taxation for self employment from the given link
brainly.com/question/28402044
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Answer:
The investment adviser first buys the shares for its customer accounts and then places the order necessary to buy the shares for its proprietary account
Explanation:
Since buying a large position for the adviser's customers might tend to push the price of the stock up, the adviser cannot benefit from this by "front running" the customer orders by placing an order to buy the stock for its proprietary account just before placing the big customer orders to buy. The best procedure is to buy the stock for the customers first and then for the adviser's proprietary account. Remember that the adviser is a fiduciary who must place his clients' interests first.
