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Sloan [31]
3 years ago
13

Bonnie's employer provides her with an annual dinner club membership costing $5,000. Her marginal tax rate is 24 percent. Her em

ployer has a marginal tax rate of 21 percent. What is Bonnie's after-tax benefit
Business
1 answer:
Nikolay [14]3 years ago
8 0

Answer:

$3,800

Explanation:

The computation of the after-tax benefit is shown below:

= Annual dinner club membership cost - annual dinner club membership cost × her marginal tax rate

= $5,000 - $5,000 × 24%

= $5,000 - $1,200

= $3,800

We simply deduct her tax expense from the annual dinner club membership cost so that the accurate amount can come.

All other information which is given is not relevant. Hence, ignored it

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A customer believes ABC's stock price will rise, but she does not currently have the money to buy 100 shares. How could the cust
Varvara68 [4.7K]

Answer:

The customer could buy call options and sell put options.

Explanation:

A call option gives you the right to buy a stock at a certain price. If the price of a stock rises (as the investor believes), the call option can be exercised and a profit will be made.

A put option gives you gives you the right to sell at a certain price. If the price of a stock rises (as the investor believes), the put option will not be exercised since the sales price will be lower than the market price.

7 0
3 years ago
The Miller Company earned $190,000 of revenue on account during Year 1. There was no beginning balance in the accounts receivabl
Rama09 [41]

Answer:

The amount of uncollectible accounts expense that will be recognized on the Year 1 income statement is $1,620.

Explanation:

To arrive at the amount of uncollectible accounts expense that will be recognized on the Year 1 income statement, we simply need to calculate 3% of the company's sales on account balance, as follows:

3% of ($190,000 - $136,000) = $1,620

So, $1,620 would be the bad debt expense that will be recorded in Year 1 income statement, since there is no opening balance of sales on account and allowance for doubtful accounts.

Also, note that the collection on account during the year would reduce the sales on account balance, as shown above.

4 0
4 years ago
2. The Lorenz curve measures inequality in person income distribution. What is the difference between personal income distributi
Bogdan [553]

Answer: The answers are given below

Explanation:

Personal income distribution focuses on how income is being shared among the individuals in a nation while the functional income distribution has to do with the amount of income that is relative to the production factors

A progressive tax is a type of tax whereby the high income earners pay a larger percentage of their income than those that are from the low income groups while a proportional tax is a type of tax whereby everyone whether from high or low income group pays the same percentage as tax.

The problem of progressive taxation as a means to achieve greater equality in income distribution is that it encourages inequity. The aim of the progressive tax system is to bring about fairness whereby everyone in the economy will pay a fair share but the reality is that actually leads to many households paying more than the amount they should fairly pay while some pay close to nothing. It can also lead to the disincentive to work hard. When workers realize that a higher percentage of their income will be deducted as tax, they may reduce their commitment to work which lead to reduction in productivity.

3 0
4 years ago
Root and Vine is a gardening collective and local delivery service started by two friends. Their clientele has grown, and they w
Zanzabum

The best and most correct answer among the choices provided by your question is the second choice or letter B. They could put up a partnership which <span>might best suit their growth.

</span>
A partnership<span> is a single business where two or more people share ownership. Each </span>partner<span> contributes to all aspects of the business, including money, property, labor or skill. In return, each </span>partner<span> shares in the profits and losses of the business.</span>


I hope my answer has come to your help. Thank you for posting your question here in Brainly.
3 0
3 years ago
Read 2 more answers
If a firm raised its pricea and discovered that its toatl revenue fell, then the demand for its product is:______.
Mila [183]

Answer:

Option d (Relatively elastic) would be the correct solution.

Explanation:

  • The demand for some of its commodities becomes relatively elastic, i.e. the price drop contributed to a large decrease or change in the number requested, thus lowering the overall sales.
  • It could be contrasted to other options for elasticity-comparatively inelastic, completely inelastic, perfectly elastic even elastic units.

All 3 other options are not connected to the hypothetical offered. So, the option here was the best one.

5 0
3 years ago
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