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denis23 [38]
3 years ago
7

Vernon is a cash basis taxpayer with a calendar tax year. On October 1, 2019, Vernon entered into a lease to rent a building for

use in his business at $3,000 a month. On that day Vernon paid 18 months' rent on the building, a total of $54,000 ($3,000 × 18 months). How much may Vernon deduct for rent expense on his 2019 tax return?
Business
1 answer:
ddd [48]3 years ago
5 0

Answer:

$9,000

Explanation:

Calculation of the amount Vernon deduct for rent expense on his 2019 tax return will be :

Rent(lease)×Numbers of months used

Where:

Rent (lease)= 3,000

Numbers of months=3

Hence:

3,000×3=$9,000

Therefore the amount Vernon deduct for rent expense on his 2019 tax return is $9,000 which is 3000×3 month.

The 3 months is from 1st October to 31st December.

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The answer you’re looking for is D
6 0
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A bakery buys flour in 25-pound bags. The bakery uses 1,215 bags a year. Ordering cost is $10 per order. Annual carrying cost is
gizmo_the_mogwai [7]

Answer:

the economic order quantity is 18 units

Explanation:

The computation of the economic order quantity is as follows

Economic order quantity is

= \sqrt{\frac{2 \times annual\ demand \times ordering\ cost}{carying\ cost}  } \\\\= \sqrt{\frac{2\times 1,215\times \$10}{\$75} }

= 18 units

hence, the economic order quantity is 18 units

We simply applied the above formula so that the correct value could come

And, the same is to be considered

6 0
3 years ago
What was your annual net income for your most recently filed tax year?
Bond [772]

Explanation:

Incomplete question. However, i infer you want to know what the annual net income implies.

Thus, itis important you know that the annual net income is calculated after taxes are deducted from the total salary one earns in a year's. So to determine the value, you need to know the total taxes for the year.

7 0
4 years ago
For each example listed, decide if the good is a normal good or an inferior good. Make sure you answer from the perspective of t
babymother [125]

Answer:

Billy's mom increases his weekly allowance by $ 55 . As a result, Billy increases the number of apps he downloads on his smartphone.

If with increase in income demand increases, the good will be a normal good. Thus, apps that billy downloads are normal goods.

Susan gets a 15 percent performance bonus at work. She can finally stop eating so many frozen pizzas and eat something more tasty. Frozen pizzas are: Inferior goods

Here with increase in income, the demand for a commodity falls, the so called commodity is a inferior good. Thus, in this case frozen pizzas are inferior goods.

Mike is an appliance salesman. Refrigerator sales in his store have fallen and so has his commission. Mike decides to switch from name brand cereal to generic cereal. Generic cereal is: Inferior goods

If there is a fall in income and thus demand increases, the good is inferior. Thus, in this case generic cereal is an inferior good.

Hair stylist Molly loses a few of her clients. Molly cuts back on the number of smoothies she buys during the week. Smoothies are: Normal goods

If there is a decrease in income and thus demand falls, the good is normal. Thus, smoothies as commodity in this case will be refereed to as normal goods.

5 0
3 years ago
On January 1, 2021, Clear Water Airlines leased a jumbo jet from Unilever Corporation. The terms of the lease require Clear Wate
alex41 [277]

Answer:

It will be recorded at 13,085,320.86

Explanation:

We will calculate the present value of an annuity-due of 20 years to know the lease liability

C \times \frac{1-(1+r)^{-time} }{rate} (1+r)= PV\\

C 1,000,000

time 20 years

rate 0.05

1000000 \times \frac{1-(1+0.05)^{-20} }{0.05} (1+r)= PV\\

PV $13,085,320.8597

It will be recorded at 13,085,320.86

at year-end interest will be recognize and icnrease the liability accouny

on january first will decrease the liaiblity by the 1,000,000 payment.

7 0
4 years ago
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