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Ganezh [65]
3 years ago
10

A taxpayer purchases real estate rental property for $150,000. She pays $25,000 cash and obtains a mortgage for $125,000. She pa

ys closing costs of $8,000, which includes $4,000 in points on the mortgage and $4,000 for closing fees and title costs. The basis in the property is:
a. $33,000 depreciation , $125,000 amortization
b. $158,000 depreciation only
c. $154,000 depreciation, $4,000 amortization
d. $150,000 depreciation, $8,000 Amortization
Business
1 answer:
Amiraneli [1.4K]3 years ago
6 0

Answer:

c. $154,000 depreciation, $4,000 amortization

Explanation:

The basis of the rental real estate property = purchase price + closing costs (excluding the cost of mortgage points)  = $150,000 + $4,000 = $154,000

You can amortize the cost of the closing points for a period equal to the length of the mortgage loan (or up to 30 years if the length of the loan is longer).

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Sadie owns a hair salon. She gives her hairdressers two options for using her​ facility, equipment, and salon​ products: Option​
Sonja [21]

Answer:

The correct answer is B.

Explanation:

Giving the following information:

Option​ 1: they can pay Sadie​ $5 per haircut plus​ 20% of their revenue.

Option​ 2: they can pay a flat chair rental of​ $1,000 per month.

The hairdressers charge their customers ​$40 per haircut.

Option1= 5*cut + 8*cut= $13 per cut

Option 2= $1000

1000= 13x

77=x

77 haircuts.

8 0
3 years ago
Describe the promotional mix in a few sentences.
natulia [17]

Answer:

It's a specific combination of the tools channels and processes you use to promote your offerings it's a what you say how you say it who you say it to what channels you use to reach them and how often you communicate

7 0
3 years ago
1. Which of the following accurately explains why scarcity forces individuals and society to incur opportunity costs? A. Because
lozanna [386]

Answer:

explanation of opportunity cost:

A. Because of scarcity, people must make choices, and each choice incurs a cost

exampes of opportunity cost:

A. The money spent on a movie ticket cannot buy a Blu-ray player

C. The time spent preparing for a test cannot be spent playing computer games

Explanation:

The opportunity cost refers to the return or ouput of the resource used in the best alternative decision.

That means, the wages we get fro ma certain job most be compared with the wages we could do in another to really check if we are making a gain or not with our job.

Same applies for capital and other factors.

4 0
3 years ago
When you are communicating with someone from another culture you should _______.
s344n2d4d5 [400]

Answer:

maintain etiquette or speak slowly

6 0
3 years ago
Chicken and tuna fish are substitutes in consumption. Suppose that new technology decreases the cost of catching tuna. This woul
mihalych1998 [28]

Answer:

B. a decrease; a decrease

Explanation:

Substitutes' goods are products that can be consumed in place of each other.  If one product is missing, consumers will be ready and willing to buy its substitute. An increase or fall in the price of a good or services will cause the demand for its substitute to move in the opposite direction.

Equilibrium quantity is when supply matches the demand. If the price of Tuna fish decreases, its demand will increase as more customers will afford it. Tuna and chicken are substitutes, should the price of Tuna decrease,  customers will prefer to consume Tuna over chicken.  Consequently, the demand for chicken will reduce w leading to a decrease in its price.

6 0
3 years ago
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