Answer:
The distribution by Fargo corporations has the following tax consequences
- The corporation has distributed an appreciated property( that on its own makes it liable for tax)
- The corporation must recognize the gains or losses made on the distribution as if the corporation was selling the property to the shareholder.
- Apply capital gains tax on the gains or losses
- capital gain = $310000-$260000 =$50000
- Apply any annual exclusion and multiply by the Capital Gains Tax to arrive at Taxable Capital Gain to be included in incomes
The shareholder will recognize dividend received in the market value and will be subject to exemptions if applicable.
Explanation:
Economists can measure physical capital in a country by unconventionally assessing the size of the employed population and their level of education which though not necessarily a conventional type of physical capital still it is essential to activate the inanimate physical capital. Conventional physical capital could be natural resources like forests, mineral deposits, and fisheries but more likely would mainly include man-made machines like tractors for farms, trucks for trucking produce, trains, factories, mine buildings and crushers etc.
Answer:
No
Explanation:
This does not violate the expenditure = output identity because this idenity says that goods-in-stock /unsold goods produced and ready for sale but not yet sold (inventory) are also a part of output, which if sold in the next accounting period, would still be calculated as sale in the current period, since it is the sale of output produced in the current year.
Answer:
712 Units
Explanation:
Given
Order Quantity = 4800 units
Safety Stock = 112 units
Since Hasty Manufacturing make orders 4 times in a year, then Safety Stock = 4 * 112 = 448
Average inventory = ½(Order Quantity) + Safety Stock
Average inventory = ½ * 4800 + 448
Average Inventory = 2400 + 448
Average Inventory = 2848 for 4 Orders per annum
Also, they make order 4 times a year.
So, the Average Inventory per order = 2848/4
So, Average Inventory = 712
Desire, Ability, and Willingness.
Desire- do people want to buy the product?
Ability- are they able to buy it? (do they have enough money, etc)
Willingness- are people willing to buy this product instead of something else?
