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3 years ago

What is the economic definition of utility? Utility is

Business

1 answer:

ch4aika [34]3 years ago

3 0

Answer:

A. the enjoyment or satisfaction people receive from consuming goods and services.

Explanation:

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You missed writing down a transaction but your account indicates you spent your entire cleaning budget of $750. Your other trans

Klio2033 [76]

Answer:

Explanation:

a) $90

b)$111

c)$136

d)$148

4 0

2 years ago

MicroTech Corporation maintains a capital structure of 40 percent debt and 60 percent common equity. To finance its capital budg

timama [110]

Answer:

weighted cost of capital for next year is 10.27 %.

Explanation:

Weighted cost of capital = Ke × (E/V) + Kd × (D/V)

Ke = Cost of Equity

= Dividend Yield + Expected growth rate

= $1.30 / $30.00 + 0.07

= 0.11333 or 11.33 %

Kd = Cost of Debt

= Interest × (1 - tax rate)

= 11% × ( 1 - 0.21)

= 8.69 %

Weighted cost of capital = 11.33 % × 60% + 8.69 % × 40%

= 10.27 %

5 0

2 years ago

Duc has been employed by Longbow Corporation for 25 years. During that time, he bought an annuity at a cost of $50 per month ($1

Arte-miy333 [17]

Answer:

a. How much gross income does Duc have from the contract in the current year?

According to the IRS, Duc's life expectancy is 90 years and 8 months, or 310 more months. This means that Duc can discount from his monthly income $15,000 / 310 = $48.39 (which we must round down to $48).

Duc received 8 x $200 = $1,600

deductions = 8 x $48 = $384

taxable income = $1,216

b. Assume that Duc dies on April 2, 2025. How does Annika account for the contract in 2025?

Annika should account for the contract in the same way as Duc did, and will also be able to discount $48 per month form her gross income. Since Annika will still file her taxes as married during 2025, she will report net income from this contract = ($200 - $48) x 12 months = $1,824

c. Assume the same facts as in part b and that Annika dies on August 4, 2032. How does the executor of Annika's estate account for the contract in the year of her death?

Both Duc and Annika received [(2032 - 2019) x 12] + 4 = 160 payments in total, so her estate is entitled to a tax deduction = (310 - 160) x $48 = $7,200

Since she died on August, her estate must also report income = ($200 - $48) x 8 = $1,216

3 0

2 years ago

A financial adviser manages an equity portfolio for an endowment fund, which has an 8.2% return objective. The adviser makes a s

MArishka [77]

Answer:

The endowment fund is not satisfied with the advisor's performance

Explanation:

Judging from a nominal interest rate perspective where return expected of an investment comprises of real rate of return and an extra return which is a compensation for inflation rate in the economy,the endowment fund is not satisfied with performance of the advisor.

The satisfactory rate of return that would be expected of the advisor is computed below:

nominal interest rate=real rate+inflation rate

real rate is 8.2%

inflation rate is 2.9%

nominal interest rate=8.2%+2.9%

=11.10%

3 0

2 years ago

Sid purchased an automobile for personal

Aloiza [94]

Answer:

Part A. $1200

Part B. $1200

Explanation:

Part A.

Under MACRS rules, the depreciation rate for the 5 year recovery period asset would be:

Year 1 20%

Year 2 32%

Year 3 19.2%

Year 4 11.52%

Year 5 11.52%

Year 6 5.76%

This means that the first year MACRS depreciation deduction would be 20% which is $1200 ($6000 * 20%).

Part B.

If Sid does not elect Section 179 expensing then the depreciation would be calculated using straight line basis.

The depreciation would be:

Depreciaiton Expense = $6000 / 5 Years life = $1200

8 0

2 years ago

What is the economic definition of​ utility? Utility is

What is the economic definition of utility? Utility is