1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dexar [7]
3 years ago
15

How much of the following is taxable? a. Cheline, an actress, received a $6,400 gift bag for attending the Academy Awards Ceremo

ny during 2018.b. Jon received a gold watch worth $660 for 25 year of service to his accounting firm (not a qualified award).c. Kerry won $1,000,000 in her state lottery.d. Deborah is a professor who received $30,000 as an award for her scientific research from the university that employs her.
Business
1 answer:
Bingel [31]3 years ago
6 0

Answer:

A. $6,400

B. $240

C. $1,000,000

D. $30,000

Explanation:

Requirement A, C, and D:

Prizes and awards are taxable income for a taxpayer. Any awards or prizes won from the lottery or television should be added to the income. Therefore, the Winning lottery is a taxable income for Kerry, $1,000,000. Again, Receiving the award for scientific research is also taxable income for Deborah, $30,000.

The winning award for accomplishments is also a taxable income. So, receiving a $6,400 worth gift bag is a taxable income for Cheline.

Requirement B:

There is an exception if the award is for tangible property and a long-years of accomplishment. At that time, the taxpayers will be excluded from some part of the necessary amounts to be paid as tax. If it is not a qualified award, the exclusion will be $400. If it is qualified, the tax exclusion is 1,600. Since Jon received a gold watch for 25 years of service and the gift is not qualified, he has to pay tax for $(660 - 400) = $240.

You might be interested in
Horton Co. was organized on January 2, 2014, with 500,000 authorized shares of $10 par value common stock. During 2014, Horton h
Harrizon [31]

Answer:

The balance in the Paid-in Capital from Treasury Stock account at December 31, 2014 is $36,000

Explanation:

The computation of the balance in the treasury stock account is shown below:

= Number of shares sold × (Selling price of share - purchase price of share)

= 18,000 shares × ($13 per share - $11 per share)

= 18,000 shares × $2 per share

= $36,000

The other items which are mentioned like issued shares, authorized shares are irrelevant because we have to compute for the treasury stock, not for the common stock. So, these parts would be ignored in the computation part.

7 0
3 years ago
You are bearish on Telecom and decide to sell short 100 shares at the current market price of $50 per share.
Elden [556K]

Answer:

A. $2,500

B. $60

Explanation:

A. Calculation to determine How much in cash or securities must you put into your brokerage account if the broker's initial margin requirement is 50% of the value of the short position

Initial Margin = 100*$50*50%

Initial Margin = $2,500

Therefore The amount of securities that you must put into your brokerage account if the broker's initial margin requirement is 50% of the value of the short position is $2,500

b. Calculation to determine How high can the price of the stock go before you get a margin call if the maintenance margin is 30% of the value of the short position

First step is to calculate the Maintenance Margin per share

Maintenance Margin per share = $50*30%

Maintenance Margin per share =$15

Second step is to calculate the Rise in price required

Rise in price required = $50*50% - $15

Rise in price required= $10

Now let calculate How high can the price of the stock go

Price of stock=$50+$10

Price of stock= $60

Therefore How high can the price of the stock go before you get a margin call if the maintenance margin is 30% of the value of the short position is $60

8 0
3 years ago
Sparks Fireworks manufactures and sells fireworks. Their raw materials used is $71,500. Their beginning raw materials inventory
algol13

Answer:

The correct answer would be, $70500

Explanation:

Raw Material Turnover means what amount of raw materials is used within a specific period of time. So the raw material turnover would be calculated by adding the beginning inventory with the amount of material used within the period, and then the remaining material will be deducted. So the whole calculations are shown as follows:

Beginning Raw Material Inventory: $5000

Raw Material Used:                $71500

Ending Raw Material Inventory:    $6000

Raw Material Inventory Turnover:

Beginning Inventory + Raw Material Used - Ending Raw Material

= 5000+71500-6000= $70500

7 0
3 years ago
Which step in the STP process develops descriptions of the different segments, which helps firms better understand the customer
Nookie1986 [14]

Answer: Step Four - Construct Segments Profile

Explanation:

When practical market segments have been resolved, segment profiles are then created. Segment profiles are point by point depictions of the purchasers in the segments – portraying their needs, behaviors, preferences for the goods, socio economics, shopping styles, etc. This is much similarly that the age accomplices of Baby Boomers, Generation X and Generation Y have a name.

7 0
3 years ago
Assume an exchange rate of $1 = .60 british pounds. a u.s. product sells in britain for 18 pounds. by what percentage will dolla
Arisa [49]
<span>18 x .6 = $10.80 US 18 x .5 = $9.00 US 9/10.80 = .83 1 - .83 = 17% change You first multiply the price in pounds by the exchange rate to find out how much the product would cost in US dollars. Then the same calculation is done with the lower exchange rate. You create an equation with the 2 US dollar amounts. Then to get the percent change, you subtract that answer from 1.</span>
7 0
3 years ago
Other questions:
  • Christina is evaluating Maximum Brands as an investment opportunity. She is very concerned about future financial performance by
    15·1 answer
  • Oswego clay pipe company sold of pipe to southeast water district #45 on of the current year with terms . oswego uses the gross
    6·1 answer
  • On January 1, Year 1, Dunn Brothers, Inc., purchased a new smartphone case making machine at a cost of $80,000. The estimated re
    12·1 answer
  • One of the advantages of having a savings account is that the money can be used for emergency purposes, whereas money in bonds,
    12·2 answers
  • At March 31, Cummins Co. had a balance in its cash account of $11,400. At the end of March the company determined that it had ou
    10·1 answer
  • 1. The level of prices and the value of money Suppose the price level reflects the number of dollars needed to buy a basket of g
    7·1 answer
  • Scenario: Phillip and Joseph are two classmates who represented their college in a quiz competition as a team and won $500. Howe
    12·1 answer
  • Wanda’s will power is 25% in convincing people to vote for her. She needs 50% of the vote to win. Assuming everyone votes, in or
    5·1 answer
  • How can problem solving skills assist a grade 12 leaver in the world of work
    13·2 answers
  • "Davcher, Inc. is considering a project for next year, which will cost $5 million. Davcher plans to use the following combinatio
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!