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Rainbow [258]
2 years ago
13

Assume that Tom and Mason are in the 24% marginal tax bracket and the actual before-tax cost for Tom to drive to and from work i

s $0.30 per mile. What are Tom's and Mason's after-tax costs of commuting to and from work
Business
1 answer:
kicyunya [14]2 years ago
5 0

The question incomplete! The complete question along with answer and explanation is provided below.

Question:

Eagle Life Insurance Company pays its employees $.30 per mile for driving their personal automobiles to and from work. The company reimburses each employee who rides the bus $100 a month for the cost of a pass. Tom, in his Mazda 2-seat Roadster, collected $100 for his automobile mileage, and Mason received $100 as reimbursement for the cost of a bus pass.

a. What are the effects of the $100 reimbursement on Tom's and Mason's gross income?

b. Assume that Tom and Mason are in the 24% marginal tax bracket and the actual before-tax cost for Tom to drive to and from work is $0.30 per mile. What are Tom's and Mason's after-tax costs of commuting to and from work?

Explanation:

a.

For Tom:

He is required to include the $100 in gross income therefore, he would have to pay after-tax cost on the reimbursement.

For Mason:

He is not required to include the $100 in gross income due to qualified transportation fringe.

b.

For Tom:

Marginal tax = 24%

The after-tax cost of commuting = 0.24*$100 = $24

The before-tax cost of commuting = $0 (since he was reimbursed)

For Mason:

The after-tax cost of commuting = $0

The before-tax cost of commuting = $0 (since he was reimbursed)

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molen inc. has an outstanding issue of perpetual preferred stock with an annual dividend of $4.00 per share. if the required ret
crimeas [40]

The price at which the stock should sell is $61.54.

Using this formula

Stock selling price=Preferred stock annual dividend/Preferred stock required return

Where:

Preferred stock annual dividend=$4.00 per share

Preferred stock required return=6.5% or  0.065

Let plug in the formula

Stock selling price=$4.00/0.065

Stock selling price=$61.538

Stock selling price=$61.54 (Approximately)

Inconclusion the price at which the stock should sell is $61.54.

Learn more here:

brainly.com/question/15561609

7 0
2 years ago
Tracy is thinking of marketing a new energy drink. Her target market will be parents of young children who need an energy boost
lorasvet [3.4K]

Answer:

The correct answer is  Generalizability.

Explanation:

The generalizability theory (theory G) allows to measure the reliability of a test by quantifying the importance of each of its sources of variability. The error is redefined, as a condition or facet of measurement, using the generalizability coefficient as a measure to estimate reliability. This approach does not contradict the fundamental approaches of the classical theory of tests, but can be seen as an extension of it.

7 0
3 years ago
During April, the production department of a process manufacturing system completed a number of units of a product and transferr
malfutka [58]

Answer:

1) completed and transferred 293,000

<u><em>Equivalent units under W/A method:</em></u>

EU materials     338,500

EU conversion  306,000

Explanation:

Beginning WIP                 33,000

started and completed <u>260,000</u>

completed and transferred 293,000

Ending WIP                      65,000

EU under weighted-average methood:

complete and transferred plus percentage of completion ending WIP

293,000 + 65,000 x 70%  =  338,500

293,000 + 65,000 x 20%  =  306,000

3 0
3 years ago
Although total world grain production is increasing, per capita production remains flat. what factors have contributed to this s
RoseWind [281]

Although total world grain production is increasing, per capita production remains flat. The factors that have contributed to this situation are the increasing population of humans, climatic conditions, quality of land cultivation, and the energy to plant and harvest the grain.

In 2019, the USA populace changed to 328 million, even as its financial output turned into valued at $21.43 trillion. To calculate GDP in step with capita, we get the full GDP and divide via the whole population. In this example it is: So in 2019, the GDP per capita of the USA becomes $ 65,335

.

According to per capita production intake, the every year use of goods and offerings by using all and sundry is derived through dividing the number of products and offerings utilized by the full populace. This variable serves as a right-away measure of personal monetary well-being. Per capita consumption is stricken by (Jain et al., 2012):

GDP in line with per capita production is the sum of gross cost introduced with the aid of all resident producers within the financial system plus any product taxes (much fewer subsidies) not blanketed within the valuation of output, divided by using mid-yr population. boom is calculated from constant price GDP data in nearby forex.

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5 0
2 years ago
Suppose in the republic of sasquatch that the regulation of banking rested with the sasquatchian​ congress, including the determ
lianna [129]

Answer:

hello your question is incomplete here is the complete question

Suppose in the Republic of Sasquatch that the regulation of banking rested with the Sasquatchian​ Congress, including the determination of the reserve ratio. The Central Bank of Sasquatch is charged with regulating the money supply by using open market operations. In September​ 2015, the money supply was estimated to be 70 million yetis. At the same​ time, bank reserves were 8.4 million yetis and the reserve requirement was 12 percent. The banking​ industry, being​ "loaned up," lobbied the Congress to cut the reserve ratio. The Congress yielded and cut the reserve requirement to 10 percent.

The potential impact of this action could

a. decrease

b. increase

the money supply by ?

nothing

million yetis.

Answer : increase and million yetis

Explanation:

If the congress yields to the lobby by the banking industry and cut the reserve ratio requirement from 12 percent to 10 percent it significantly will affect the increase in money in supply by ( 1.4 million yetis )

and this increase in money supply will lead to an increase in loanable funds and this will encourage investors t take up loans in which the banking industry will benefit from interest charged on loanable funds given to the investors.

4 0
3 years ago
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