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Kaylis [27]
3 years ago
6

A customer who is age 75 has been taking RMDs (Required Minimum Distributions) each year from his Traditional IRA in cash. This

year, he asks his representative if he can take the distribution in the form of shares of a mutual fund position in his account. He tells the representative that because it has been a bear market, the share price is depressed and rather than liquidate, he would like to take the shares into his cash account at the firm, awaiting a market rebound. You should tell him that the RMD can:____________
Business
1 answer:
ahrayia [7]3 years ago
4 0

Answer:

Taking his RMD in form of shares in a depressed market is a good investment decision. As the price will bound back and he will make more money.

Explanation:

When a traditional IRA holder gets to the age of 72 years he is entitled to required minimum distribution payments. This is not obtainable with other IRA plans.

RMD can be taken as cash or as shares. There is not tax difference between the two options.

Normally cash is better since it is easier to get access to and the beneficiary gets the exact dollar amount.

However when there is a depressed stock market, taking RMD in shares is a better option. Shares are bought and sold when prices appreciate.

This is a better option than selling shares at the low market price.

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Indirect labor and indirect materials are classified as factory overhead and product costs factory overhead and period costs ope
Dvinal [7]

Answer:

True

Explanation:

Product costs are the costs directly incurred from the manufacturing process. The three basic categories of product costs they are;

1) direct material

2) direct labour

3) manufacturing (factory) overhead.

Manufacturing overhead cost also include the following;

a) indirect labour: Indirect labor is the labor of those who are not directly involved in the production of the products.

b) indirect material: Indirect materials are materials that are used in the production process but that are not directly traceable to the product.

4 0
3 years ago
What is annual income?​
DIA [1.3K]
Is the total value income earned in a year exactly
4 0
3 years ago
Read 2 more answers
Jacob needed money for some unexpected expenses, so he borrowed $5,890.25 from a friend and agreed to repay the loan in seven eq
Anna11 [10]

Answer:

OPTION C i.e 11%

Option A i.e 30.55 year

Explanation:

we know that capital can be calculated as

Capital = EMI \times PVIFA

capital = EMI \times \frac{(1+r))^n -1}{r (1+r)^n}

from the data given in question we can calculate the value of r

so

5890.2 = 1250 \times \frac{(1+r))^7 -1}{r (1+r)^7}

4.7122 = \frac{(1+r))^7 -1}{r (1+r)^7}

solving for r we get

r = 11%

option C

we know that

Total\ saving  =  cash flow \times FVIFA

                      = Cash\ flow \times \frac{(1+r)^n -1}{r}

from the data given we can evealueate the value of n

8,452,622 = 40,000 \times \frac{(1.11)^n -1}{0.11}

\frac{8452622}{40000}\times 0.11 = (1.11)^n -1

solving for n we get

n = 30.55 year.

Option A

4 0
3 years ago
Enron and Tyco failed primarily because they______.
faltersainse [42]

The correct answer is D. manipulated accounting Procedures.

3 0
2 years ago
A shop that makes candles offers a blueberry scented candle which has daily demand of 10 boxes. Blueberry candles can be produce
Lostsunrise [7]

Answer:

E. 115 boxes.

Explanation:

d: 10 boxes/day

p: 36 boxes/day

n: 365 days

s: $60

H: $24 box/year

D: d*n

D= 10*365= 3650 boxes/year

EPQ = \sqrt{2DS/H} *\sqrt{p/p-d}

EPQ=\sqrt{2*365*60/24} *\sqrt{36/36-10}  

EPQ= 158.96 = 159 units

I=Q/P * (p-d)

I=159/36 * (36-10)

I=114.83

115 boxes aproximately

7 0
3 years ago
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